This May Be the Most Important Single Piece of Information a Trader Must Know Before Alphabet’s Earnings (and If You’re Still Shorting, You Might Be Crazy)
Hello investors and traders, Alphabet investors preparing for the earnings announcement on July 23, 2025, should closely watch recent trends surrounding Google’s AI model, Gemini Pro. Search data from July 2024 to July 2025 highlights key developments that could significantly influence investor sentiment.
Crucial Insight: Gemini Pro Rapidly Closing Gap with ChatGPT
Between March 30-April 5, ChatGPT’s search interest peaked at 100 versus Gemini’s 6. By July 20-26, ChatGPT dropped to 79, while Gemini climbed to 8. Gemini’s interest grew about 54% faster than ChatGPT (according to this perspective), showcasing Alphabet’s rapidly strengthening competitive edge in AI. Do you think that may come into play on Google’s upcoming guidance? I sure think so.
Disclaimer: This analysis represents my personal view based on specific Google Trends queries within the United States (and not the entire world) and temporal scope. It is not financial advice. Invest at your own risk.
Important Note for Investors and Traders:
As experienced investors and traders know, no single factor should dictate the decision to short or go long on a stock, especially around earnings, which is always a risky event for traders. Additionally, the exact weight of various influencing factors remains unknown.
However, given the critical role AI currently plays as a strategic revenue driver for companies like OpenAI and Google, this information would personally make me reconsider a short position if I were shorting Alphabet without seeing this single key insight. I strongly advise investors to conduct their own thorough research and analysis, but from my experience, this stands out as the most critical single piece of information in this specific context.
Other Key Takeaways From Google Trends Data:
-
Steady Growth for Google Gemini Pro in 2025: Significant surge in Gemini Pro’s interest from April-June 2025.
-
Impressive Momentum for Google Gemini: Interest doubled from an average of 34.73 (Feb-April) to 71.20 (May-July).
Possible Catalysts for Interest Surge:
-
Product Innovations: New Gemini Pro features likely drove public excitement.
-
Integration Across Google Platforms: Increased visibility through Google’s popular services.
-
Media and Expert Attention: Rising awareness fueled by extensive media coverage for Google Gemini.
-
AI Industry Growth: Broader enthusiasm in AI tech benefiting Alphabet indirectly.
Investor Considerations for Earnings:
Watch closely for:
-
Management Guidance: Updates on Gemini Pro’s market adoption and revenue trajectory. Note that this insight that I bring here to you, may signficantly affect the guidance as we are looking at recent data that, if true and representative enough, should affect the forecast of Alpahbet’s earnings report.
-
Strategic Announcements: Partnerships or major product advancements involving Gemini Pro.
-
Competitive Insights: How Alphabet positions Gemini Pro against OpenAI’s GPT and Microsoft’s AI initiatives.
Shorting Alphabet before Earnings Today? If I were you, I would cover. But I might be wrong. It’s your money. Please see other original views at investingLive.com
This article was written by Itai Levitan at investinglive.com.