Prediction: Alphabet Will Report Google Cloud Revenue Growth Exceeding 100% on Oct. 28.

Impact · against what's priced in

The prediction of 100%+ Google Cloud growth is a potential catalyst as the current price explicitly declines to pay for cloud growth sustaining at or above 40%. However, the expected margin compression from neocloud usage partially offsets this top-line surprise.

GOOG+0.40

Challenges what's priced in

The price assumes

The $514 billion Google Cloud backlog translating into sustained 80%+ revenue growth