Arcadia Investment Management Reduces Stake in Alphabet Inc. by 1.1%

Arcadia Investment Management Corp has reduced its holdings in Alphabet Inc. (NASDAQ: GOOG) by 1.1%, according to a recent 13F filing with the Securities and Exchange Commission (SEC). The Michigan-based investment firm now owns 47,236 shares of Alphabet after selling 540 shares during the second quarter. This reduction brings the value of Arcadia’s Alphabet holdings to approximately $8.38 million, making it the fund’s 25th largest investment, accounting for about 1.3% of its portfolio.

Several other institutional investors have also adjusted their positions in Alphabet. Vanguard Group Inc. increased its stake by 2.4% during the first quarter, acquiring an additional 9,687,855 shares. Vanguard now holds 411,570,922 shares valued at $64.30 billion. In a more dramatic move, Kingstone Capital Partners Texas LLC raised its holdings by an unprecedented 580,897.4%, now owning 135,087,705 shares worth roughly $23.96 billion.

In addition, Geode Capital Management LLC increased its stake by 0.4%, bringing its total to 107,760,033 shares valued at $19.02 billion. JPMorgan Chase & Co. raised its position by 9.9%, now holding 102,232,997 shares valued at $15.97 billion. Deutsche Bank AG also expanded its holdings by 5.4%, acquiring an additional 1,098,996 shares during the same period.

Insider Trading Activity

Recent insider trading activity at Alphabet indicates further shifts in ownership. Chief Accounting Officer Amie Thuener O’toole sold 2,778 shares on September 15, 2023, at an average price of $245.00, totaling $680,610. Following this transaction, O’toole now holds 17,293 shares, valued at approximately $4.24 million, representing a 13.84% decrease in her ownership.

Additionally, CEO Sundar Pichai sold 32,500 shares on October 15, 2023, for $8.13 million, leaving him with 2,369,619 shares valued at around $592.76 million. Over the past three months, insiders have sold a total of 221,796 shares worth $53.98 million. Currently, corporate insiders own 12.99% of Alphabet’s stock.

Market Performance and Analyst Ratings

On October 30, 2023, Alphabet reported earnings that exceeded expectations, with an earnings per share (EPS) of $2.87 compared to the consensus estimate of $2.29. The company’s revenue for the quarter reached $102.35 billion, surpassing analyst expectations of $99.90 billion. Alphabet’s net margin stood at 32.23%, with a return on equity of 36.08%. The revenue increase of 15.9% year-over-year highlights the company’s robust performance.

As of the latest trading session, shares of Alphabet were down 0.8%, opening at $276.98. The company’s market capitalization is valued at approximately $3.34 trillion, with a price-to-earnings ratio of 27.32.

Research analysts have varied opinions on Alphabet’s stock. Cantor Fitzgerald has set a price target of $310.00 with a “neutral” rating, while DA Davidson has a higher target of $825.00. Mizuho and Wolfe Research have set targets of $325.00 and $350.00, respectively. Currently, the consensus rating for Alphabet is classified as a “Moderate Buy,” with an average target price of $324.81.

In addition to its strong financial performance, Alphabet has announced a quarterly dividend of $0.21 per share, set to be paid on December 15, 2023. Investors of record by December 8, 2023, will be eligible for this dividend, which represents an annualized yield of 0.3%.

Alphabet continues to be a significant player in the global technology landscape, offering a wide range of products and services across various regions, including North America, Europe, Asia-Pacific, and beyond. With its diverse segments, the company remains well-positioned for future growth.