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Alphabet’s Google is constantly expanding its Android offerings with new features. The company is now working on launching a dedicated “Google Location Sharing” hub, bringing together Google Maps, Google Find My Device, and Personal Safety services into a one-stop solution for all its location-sharing applications.
Solid Traction Expected
The upcoming launch is expected to gain solid traction among Android users. Moreover, the location-sharing feature will allow Alphabet to capitalize on the growing location-based services market, which is projected to reach $50.85 billion in 2024 and $149.7 billion by 2029, with a CAGR of 24.1% between 2024 and 2029, according to a Mordor Intelligence report.
Expanding Android Features
In addition to the location-sharing hub, Google has recently introduced several new features to enhance the Android user experience:
1. “Automatically add linked passes” feature in Google Wallet
2. Sports widget in the Google app
3. Birthday reminder notifications in Google Contacts
4. New features in the Google Messages app, including a “plus” shortcut, Magic Compose, and a new Gallery icon
Financial Performance and Outlook
Alphabet’s growing Android efforts are expected to boost its Google Services segment, which remains a key growth catalyst for the company. The company’s shares have rallied 12.9% year-to-date, outperforming the Zacks Computer & Technology sector’s growth of 11.1%.
The Zacks Consensus Estimate for Alphabet’s 2024 total revenues stands at $286.48 billion, indicating a year-over-year growth of 11.7%. The consensus mark for 2024 earnings is pegged at $6.78 per share, up a penny in the past 30 days.
Zacks Rank & Stocks to Consider
Alphabet currently carries a Zacks Rank #3 (Hold). However, investors seeking exposure to the broader technology sector may consider better-ranked stocks such as Applied Materials (AMAT), BlackLine (BL), and AMETEK (AME), each carrying a Zacks Rank #2 (Buy) at present.
Impressive Gains
Shares of Applied Materials, BlackLine, and AMETEK have gained 28.8%, 2.5%, and 9.4% year-to-date, respectively. The long-term earnings growth rates for these companies are also promising:
– Applied Materials: 16.85%
– BlackLine: 5.50% (projected)
– AMETEK: 9.19%
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