YouTube Ad Revenue Hits $11.2B, Up 9%, But Alphabet Stock Drops 8% After Missing Q3 Targets

YouTube's advertising revenue climbed 9% year-over-year to $11.2 billion in the third quarter, underscoring the video platform's resilience in a competitive digital ad market. However, parent company Alphabet fell short of Wall Street's overall financial expectations, triggering an 8% drop in its stock during after-hours trading. Alphabet reported total revenue of $127.6 billion, a 25% increase from the same period last year and its 13th consecutive quarter of double-digit growth, yet investors focused on the miss against analyst projections. The mixed results highlight the challenge of sustaining momentum at Alphabet's scale, even as YouTube remains a key growth engine. With digital advertising facing shifting economic currents, the market's reaction signals heightened scrutiny of tech giants' ability to beat lofty forecasts. The coming quarters will test whether YouTube's steady gains can offset broader pressures across Alphabet's portfolio.