Building an investment portfolio from scratch can be difficult, especially if you’re new to investing. It’s easy to feel overwhelmed with so many different investment options out there, but focusing on stocks that are set to outperform the market over the next 12 months is an excellent place to start.
Now, let’s break down why adding this one exceptional stock, highlighted below, to your portfolio could be a recipe for success.
Alphabet is one of the most innovative companies in the modern technological age. Over the last few years, the company has evolved from primarily being a search-engine provider to cloud computing, ad-based video and music streaming, autonomous vehicles, healthcare providers and others. In the online search arena, Google has a monopoly with more than 94% of the online search volume and market.
GOOGL was added to the Zacks Focus List on May 19, 2025 at $166.19 per share. Since then, shares have increased 4.51% to $173.68.
For fiscal 2025, 15 analysts revised their earnings estimate upwards in the last 60 days, and the Zacks Consensus Estimate has increased $0.56 to $9.47. GOOGL boasts an average earnings surprise of 14.6%.
Moreover, analysts are expecting Alphabet’s earnings to grow 17.8% for the current fiscal year.
Since stock prices respond to earnings estimate revisions, it can be very profitable to buy stocks with an increased earnings outlook. By buying a Focus List stock like GOOGL, then, you’re likely getting into a company whose future earnings estimates will be raised, potentially leading to price momentum.
Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report
Alphabet Inc. (GOOGL) : Free Stock Analysis Report
This article originally published on Zacks Investment Research (zacks.com).
Zacks Investment Research
Source link
