Google stock fell after parent Alphabet (GOOGL) announced an $80 billion equity raise to fund artificial intelligence (AI) infrastructure. The move reverses years of buybacks that steadily shrunk its share count.
Shares slipped after the June 1 announcement, with GOOGL opening down roughly 3.5% on Tuesday. Investors weighed dilution against management’s bet that AI demand justifies the largest fundraising shift the company has undertaken in years.
A Big Reversal for Google Stock Buybacks
Alphabet has spent more than $346 billion repurchasing stock since 2016. Those purchases cut shares outstanding by approximately 13% from a 2019 peak.
The program lifted earnings per share and…
