Paradigm Asset Management Boosts Alphabet Stake by 41.9%

Paradigm Asset Management Co. LLC has significantly increased its investment in Alphabet Inc. (NASDAQ: GOOGL), raising its position by 41.9% during the second quarter of 2023. This increase, reported in Paradigm’s latest 13F filing with the SEC, brought the total number of shares owned to 34,210, following the acquisition of an additional 10,100 shares during the quarter. Alphabet now constitutes 1.5% of Paradigm’s total portfolio, making it the firm’s third-largest investment, valued at approximately $6,029,000.

Several other investment firms have also adjusted their stakes in Alphabet. Notably, Guardian Wealth Management Inc. raised its position by 242.9% in the first quarter, acquiring an additional 119 shares to reach a total of 168 shares valued at $26,000. IMA Advisory Services Inc. entered the stock market with a new stake valued at around $28,000, while NBZ Investment Advisors LLC increased its holdings by 85.7%, now owning 195 shares worth approximately $30,000. CarsonAllaria Wealth Management Ltd. also expanded its investment, growing its position by 36.4% and now holding 251 shares valued at $44,000. In total, institutional investors and hedge funds control 40.03% of Alphabet’s stock.

Analyst Ratings and Market Performance

Alphabet’s stock has attracted attention from several research firms, leading to a series of adjustments in price targets. BNP Paribas Exane recently raised its price target from $247.00 to $281.00, maintaining a “neutral” rating. Loop Capital upgraded its rating from “hold” to “buy,” increasing its price objective from $260.00 to $320.00. Piper Sandler reaffirmed an “overweight” rating with a new target price of $330.00, up from $285.00. Meanwhile, KeyCorp also increased its price target to $300.00 from $265.00. According to MarketBeat, Alphabet currently holds an average rating of “Moderate Buy” with a target price of $305.33.

In terms of stock performance, GOOGL shares opened at $292.81 on Thursday, indicating a 3.0% increase. The stock has experienced a notable fluctuation over the past year, hitting a low of $140.53 and a high of $303.81. Alphabet’s financial health is reflected in its market capitalization of $3.53 trillion and a P/E ratio of 28.88, alongside a P/E/G ratio of 1.86.

Insider Transactions and Future Prospects

Recent insider transactions reveal activity among Alphabet executives. On November 17, Amie Thuener O’toole, the Chief Accounting Officer, sold 2,778 shares at an average price of $288.26, totaling approximately $800,786.28. This transaction decreased her ownership by 19.14%, leaving her with 11,739 shares valued at around $3,383,884.14. Similarly, Director John L. Hennessy sold 600 shares on November 13 for about $168,036.00, reducing his stake by 11.73%.

In total, insiders have sold 192,674 shares valued at approximately $48,454,423 in the past ninety days, while insiders collectively own 11.64% of the company’s stock.

Looking ahead, Alphabet recently declared a quarterly dividend of $0.21 per share, scheduled for payment on December 15 to shareholders of record on December 8. This dividend represents an annualized amount of $0.84 with a yield of 0.3%, indicating a payout ratio of 8.28%.

Alphabet Inc. continues to expand its global reach, offering various products and services across regions including the United States, Europe, and Asia. The company operates through segments such as Google Services, Google Cloud, and Other Bets, encompassing a wide range of offerings from advertising to cloud computing.