Alphabet Shares Drop 10% in Premarket Trading After Revenue Miss

Alphabet, Google's parent company, fell 10% in premarket trading Thursday, Oct. 29, after quarterly revenue missed expectations and cash burn increased. The move came after strong recent growth in Google Cloud. Second-quarter cloud revenue reached $24.8 billion, up 82% from a year earlier, while backlog exceeded $514 billion. Gemini had 950 million monthly active users. Alphabet had also raised its capital expenditure plans as spending on artificial intelligence increased. The 10% decline was larger than a 7% premarket drop in February 2025, when Alphabet also missed revenue expectations.