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Google Had Its Worst Day Ever, and Every Analyst Still Says Buy

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Breakdown

0:00GOOG· ticker

Google — worst day since public, $12k drop

  • Google down 12%
  • Lost half a trillion in value
  • Nvidia had worse day
  • Cloud revenue doubled
  • Alphabet spent $51.4B on AI
2:06GOOG· ticker

Analysts cut targets, still above current price

  • Seven analysts cut targets
  • All targets above current price
  • UBS at 332, 17% higher
  • Average target at 377, 33% higher
4:04GOOG· ticker

Options market reaction to Google's drop

  • Implied move of 32 points on puts
  • Calls reduced by $10
  • Net change of 22 points
  • Implied volatility at 32%
5:57GOOG· ticker

Google's historical context and risk assessment

  • Annual low of 2026 at 272
  • Google still a MAG 7 stock
  • Cash flow still positive
  • Implied volatility down to 32%
5:58VIX· ticker

VIX and market sentiment

  • VIX settling down
  • Market could rip higher
  • MAG 7 stocks as potential plays
  • Google as one of the cheapest
5:59GOOG· ticker

Implied volatility and future price ranges

  • 330 is one standard deviation
  • 14% chance above 330 in 78 days
  • 370 is two standard deviations
  • Implied volatility at 32%
6:00GOOG· ticker

Risk assessment and market outlook

  • Potential for 50-point move
  • Keep risk small
  • Strategic positioning
  • Avoid portfolio ruin
6:01GOOG· ticker

Market speculation on future price

  • 330 or 230 first
  • Potential for big move
  • Be careful with near-term volatility
  • Stay strategic

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