$Alphabet(GOOGL)$ Hindsight analysis makes everyone look like a market genius. To everyone who predicted Google would beat expectations: congratulations. You were right. Those who didn't predict the stock would drop after the results? Conveniently silent.
The analysts' estimates were conservative—as if they were valuing a 2020 company. The market, however, had already priced the stock as if it were a 2030 company. Beating conservative analyst estimates doesn't always beat the market's expectations.
People act surprised when a company posts great numbers and the stock still falls. Welcome to the stock market, where "better than expected" sometimes means, "Sorry, we were expecting even more than you knew we were expecting."
Having said that, here's the only prediction I'm confident making: absolutely no one—I mean no one—knows how the market will really open on Thursday. If they did, they'd be on a yacht, not wasting time posting victory laps on social media.
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