Google results confirm the fear that the slowdown has already reached technology companies

The home page of Google's search engine, with the keys that spell the name of its parent, Alphabet. Pascal Rossignol (REUTERS)

Stocks in Google parent Alphabet are likely to come out badly on Wednesday's Wall Street session.

The technology giant has announced this Tuesday, after the closing of the stock market, the results harvested this year and the result has been adverse for investors, who have lost 61 cents per share in the last nine months.

Google's parent company reported lower profits than analysts expected, with net profit of $13.9 billion in the third quarter of the year, down 27% from a year earlier, while revenue rose 6%, to the 69,100 million dollars.

Earnings fell short of forecast estimates, which pointed to a profit of $16.9 billion on revenue of $71 billion, according to data compiled by FactSet.

Alphabet has announced net profits of 46,348 million dollars in the first nine months of the year, which represents a drop in profits of 16.33% compared to the same period of the previous year.

The company that owns the most widely used online search engine in the world had a turnover of 206,788 million between January and September, the vast majority of which came from advertising.

This represents 13.4% compared to the 182,312 million entered in the same period of 2021, although with higher operating costs, which has cut the profit.

The results have increased the fear of contagion in the digital media sector, for fear of a slowdown in the economy and, above all, have shattered expectations that Google, the world's largest digital advertising platform by market share, remained strong in a weakening economy - the last data released by the company dates from July, but since then the economy has slipped into uncertainty - while also reinforcing concerns that inflation will continue to weigh on spending on advertising, given the lower consumption.

Alphabet shares fell 5.5% in trading after the bell.

This Wednesday's session should assess the data, which is interpreted as a thermometer of the progress of the economy,

Alphabet's weak results raise fears of turbulence for other companies in the sector, especially platforms dependent on advertising.

The parent company of Facebook, which presents its results this Wednesday, has seen its shares fall by 3.3% this Tuesday, despite the considerable rise in the Nasdaq technology index (2.25% positive), on the third consecutive day on the rise of Wall Street.