Field & Main Bank Adjusts Stake in Alphabet, Holds $4.91 Million

Field & Main Bank has reduced its holdings in Alphabet Inc. (NASDAQ: GOOGL) by 3.1% during the second quarter of 2023. According to HoldingsChannel.com, the bank now owns 27,880 shares of the tech giant after selling 895 shares in the period. This adjustment positions Alphabet as approximately 1.6% of Field & Main Bank’s investment portfolio, making it the bank’s 16th largest investment with a total value of $4,913,000 at the end of June.

Several other hedge funds have also recalibrated their investments in Alphabet. Brighton Jones LLC increased its stake by 3.9% in the fourth quarter, now holding 110,330 shares valued at approximately $20,886,000 after acquiring an additional 4,110 shares. Revolve Wealth Partners LLC raised its holdings by 3.5% during the same period, resulting in ownership of 14,930 shares worth $2,826,000 following a purchase of 506 shares.

Smart Money Group LLC and Heritage Wealth Management Inc. also expanded their positions, boosting their holdings in Alphabet by 9.4% and 8.6%, respectively. Smart Money Group now owns 6,181 shares valued at $956,000 after purchasing 532 shares, while Heritage Wealth Management holds 10,695 shares worth $1,654,000 following an acquisition of 845 shares.

Apex Wealth Management LLC similarly increased its investment, acquiring 315 additional shares to boost its holdings by 8.6%, resulting in ownership of 3,966 shares valued at $613,000. Overall, institutional investors now own 40.03% of Alphabet’s stock.

In related news, significant insider trading activity has been reported. On September 29, 2023, insider John Kent Walker sold 17,816 shares at an average price of $247.42, totaling approximately $4.41 million. This transaction decreased his position by 29.3%, leaving him with 42,985 shares valued at about $10.64 million. Additionally, CEO Sundar Pichai sold 32,500 shares on September 3, 2023, at an average price of $229.73, amounting to roughly $7.47 million. Following this sale, Pichai retains a significant holding of 2,429,892 shares, valued at approximately $558.22 million, marking a 1.32% reduction in his position. In total, insiders sold 222,396 shares valued at $54.11 million in the last three months, and they currently own 11.64% of the company’s stock.

Market Performance and Financial Outlook

Shares of Alphabet opened at $290.10 on October 31, 2023, reflecting a 4% increase. The company has demonstrated solid financial health, with a debt-to-equity ratio of 0.07 and both current and quick ratios standing at 1.90. Over the past year, Alphabet’s stock has fluctuated between a low of $140.53 and a high of $291.59, with a market capitalization of approximately $3.51 trillion. The company’s price-to-earnings (PE) ratio is currently at 28.61, and the price-to-earnings-growth (PEG) ratio is 1.86, alongside a beta of 1.05.

Alphabet’s most recent earnings report, released on October 29, 2023, revealed earnings per share (EPS) of $2.87, surpassing analysts’ expectations of $2.29 by $0.58. The firm achieved a revenue of $102.35 billion for the quarter, exceeding projected earnings of $99.90 billion. Alphabet’s net margin stands at 32.23%, with a return on equity of 36.08%. Analysts predict that Alphabet will post an EPS of 8.9 for the current fiscal year.

In addition to its impressive earnings, Alphabet announced a quarterly dividend of $0.21 per share, to be paid on December 15, 2023. Shareholders of record on December 8, 2023, will receive this dividend, which translates to an annualized payout of $0.84 and a yield of 0.3%. The company currently maintains a dividend payout ratio of 8.28%.

Alphabet Inc. continues to play a prominent role in the global technology landscape, offering a wide range of products and services across various sectors and regions, including North America, Europe, and Asia. The firm operates through several segments, including Google Services, Google Cloud, and Other Bets, making it a key player in the information services industry.