If Alphabet Does This on Oct. 28, the Stock Could Skyrocket

Alphabet (GOOG -1.10%) (GOOGL -1.14%) is set to release its third-quarter results on October 28, which could cause its stock to skyrocket. The catalyst for this potential surge is Google Cloud revenue growth. Google Cloud has experienced significant acceleration in its growth rate, reaching 82% in the second quarter, up from 63% in the first quarter and 48% in the fourth quarter of 2025.

This makes Google Cloud the fastest-growing of the three major cloud computing providers. Google Cloud's growth is being driven by the increasing demand for AI workloads, which cannot be run without cloud computing platforms. Alphabet has also made significant capital expenditures, particularly in data centers, which is helping to boost Google Cloud's revenue.

Additionally, Alphabet is now selling custom-designed Tensor Processing Units (TPUs) to certain clients, which could generate further revenue growth. The stock is currently fairly valued, with a price-to-earnings (P/E) ratio of 27 times operating income. However, if Google Cloud can continue to grow at a triple-digit rate, Alphabet's stock price could skyrocket, making it a phenomenal stock to buy now.