Google CEO, Sundar Pichai, arrives on October 4, 2016 at the launch of new Google hardware in San Francisco.
Beck Diefenbach | Reuters
The Alphabet just closed its worst day since April 2010 after it reported diminished advertising numbers for Google.
The stock fell 7.5 % on Tuesday, robbing more than $ 67 billion in market capitalization, which now stands at $ 833.5 billion. The downtrend was the worst reading for Alphabet or Google since October 201
Alphabet's shares started to slow down after hours on Monday for fear of Google's growth in advertising revenue. The company recorded revenue growth of 15% in the first quarter of 2019 compared to 24% in the previous year. In comments following the report, analysts complained that they felt lack of transparency given the slowdown in the company.
"Overall, we expect Google's shares to come under pressure in the near future if revenue growth is below 20% and profits are corrected, as mentioned earlier, the exact drivers of the slowdown are the top stocks but unclear Transparency will only increase, "wrote JP Morgan analysts.
Ritch Porat, the chief financial officer of Alphabet, said on Monday after the report, in part, the delay in click growth on YouTube for slowing down a call with analysts.
"While YouTube clicks [d] continued to grow strongly in the first quarter, YouTube click growth slowed from the strong first quarter of last year, reflecting changes we made in early 2018 Advertisers, "said Porat.
Although Porat has not specified the changes made by YouTube, the company has made some changes in recent months to address the abuse of its platform. The company began tweaking its algorithms to stem malicious content recommendations in the first quarter of 2018 and removed millions of videos that violated content policies, such as Alex Jones.
Correction: ] This story and header was originally misinformed when Google's stock fell at least as much as on Tuesday. The correct date is October 18, 2012.
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