Alphabet Sinks, DoorDash Rises, Caterpillar Slumps as Modest Beat Fails to Soothe AI Jitters
Stock MoversShow Notes
On this episode of Stock Movers:
- Alphabet (GOOGL) shares sink. The Google parent reported sales of $111.2 billion for the third quarter, falling short of analysts' projections, with ad sales from search and other channels growing at the slowest pace in five quarters. The company's future commitments to buy resources such as computing power and energy totaled $924 billion, with upcoming obligations bringing the company's total future obligations to well over $1 trillion.
- DoorDash Inc. agreed to buy rival Instacart in a deal that values the company at about $17 billion. DoorDash will pay $65 a share in cash and stock, and plans to use cash on hand and debt from JPMorgan Chase & Co. to finance the purchase. The deal is expected to close toward the end of 2027 or in the first half of 2028, at which point DoorDash plans to keep Instacart’s brand, enterprise technology products and app.
- Caterpillar (CAT) shares slump. The company posted earnings that only modestly beat expectations, adding to investor jitters about mounting challenges to the AI infrastructure boom. The company reported adjusted earnings of $7.20 a share in the third quarter, and overall revenue was $20.68 billion, just above the $20.65 billion consensus. See omnystudio.com/listener for privacy information.
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