Fast Money Blog- 6/27/25

This week we saw volatility pick up in both the Dow Jones Industrial and S&P 500 as the market shrugged off last weekend’s U.S. bombing of Iran.

It looks as if Wall Street is starting to focus on Q2 earnings releases and revenues.

In other news, many are asking the question: Why is Google stock fading?

As I’ve said in the past, all tech stocks go through their periods of being in favor, as technology is always changing.  And as future revenue is important to investors, you need to be able to read the trends.

For the past couple of months, Alphabet Inc. (GOOG) has seen Wall Street institutions pull back on putting money into its stock.

If you haven’t noticed, in the past year, Google’s (Alphabet) stock price has experienced a decrease of almost 7%, with a 52-week range of $142.66 - $208.70.

You may be asking yourself: Why?

Let me break it down for you.

In April, Google Search saw its market share dip below 90% for the first time in a decade, as users have been exploring other search engine alternatives, such as ChatGPT by Open AI, Perplexity and DeepSeek.  To help you understand just how important Google Search is to the company’s total earnings, in Q1 2025, it made up approximately 56.2% of the company’s total quarterly revenue.

This plus a combination of other factors, including increased competition in the AI space and concerns about the company's cloud growth, have made investors question the company’s future growth, leading to a drop in GOOG stock.

While this is definitely something to keep an eye on, Google is continuing to innovate, particularly with its  integration of AI.  Gemini is Google's next-generation AI chatbot, designed to compete with ChatGPT, and it has been highly praised.

However, how this plays out in the future remains to be seen.  No matter what, I’ll be here to help you invest your tech dollars wisely.

Tyrone Jackson, The Wealthy Investor