Alphabet Loses $475 Billion in Market Value, the Biggest Drop in Its History - Yahoo Finance

Alphabet shed nearly 13% of its market value on Thursday, marking the steepest single-session drop in the company’s history since its 2004 public debut.

The Bottom Line:

Alphabet’s $475 billion one-day market cap loss ranks as the second-biggest single session drop for a US-listed company, behind only Nvidia.
Google Cloud revenue more than doubled to approximately $31 billion, while free cash flow swung to a $9 billion loss due to rising artificial intelligence spending.
Search revenue grew 12% to about $63 billion, short of Wall Street’s roughly $65 billion estimate.

Yahoo Finance said that Google Cloud revenue saw its figures more than double to roughly $31 billion, while the Gemini application exceeded 1 billion users.

Search revenue grew 12% to about $63 billion, falling short of Wall Street estimates of roughly $65 billion. Free cash flow swung to a loss of about $9 billion as artificial intelligence spending climbed, alongside costs tied to the company’s stakes in artificial intelligence labs.

Along with Alphabet $GOOGL set for its biggest gap down on earnings in history, Caterpillar $CAT is set to have its biggest gap down on earnings since July 2002. If it opens down more than 10.93%, it will be its biggest ever. Some historic drops for big blue chips this morning.

— Post by @bespokeinvest on X

“The bears will argue this is the first quarter that AI is starting to seriously hurt their search business,” Jeffrey Wlodarczak, Pivotal Research CEO, told Yahoo Finance in a rundown of why investors hated the quarter.

Angelo Zino of CFRA offered a different perspective on the pullback. The decline “probably represents a buying opportunity,” Zino told Yahoo Finance.

Nearly $500 billion wiped off Alphabet’s market value in a single day. What spooked investors? — ET Digital

The Thursday sell-off surpassed Alphabet’s previous worst single-day drops of more than 10% in March 2020 and September 2008, according to Yahoo Finance calculations. The previous dollar-value low was a drop of about $275 billion on July 23.

The drop exceeded the $400 billion that SpaceX lost on June 22. Only Nvidia has suffered a larger single-day market value loss, shedding about $593 billion on Jan. 27, 2025, when China’s DeepSeek rattled artificial intelligence investors, as reported by Bloomberg and Yahoo Finance.

Google's parent company, Alphabet, just lost approximately $500 Billion in market value in a single — Value Wire

Data compiled by Yahoo Finance using Bloomberg figures shows that equities listed in the US dropped by $200 billion or greater during a single session 18 times through Wednesday of this year, compared to 13 occurrences across the entirety of 2025 and an absence of such events prior to 2022. Alphabet alone has lost about $1.4 trillion since its record in May.

Amazon, the last of the big three cloud providers to report, posted faster growth and a record cash burn after Thursday’s close. Amazon Web Services grew 39%, its fastest pace in nearly five years, while its 12-month free cash flow sank to a record outflow of more than $42 billion, Yahoo Finance reported.

Alphabet shares suffer worst-ever single-day fall, USD 500 billion wiped off market value amid… — Paciva

Amazon stock fell after hours, indicating that the financial pressure on artificial intelligence spenders extends beyond Google.

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