Global stock markets remain volatile amid geopolitical risks and inflation concerns. Investors continue to track the Magnificent 7 stocks – Alphabet (GOOGL), Amazon (AMZN), Apple (AAPL), Meta Platforms (META), Microsoft (MSFT), Nvidia (NVDA), and Tesla (TSLA), which represent about 35% of the S&P 500 (SPX). The performance of these mega-caps helps investors gain useful insights into the demand backdrop in artificial intelligence (AI) and other growth areas. Using TipRanks’ Stock Comparison Tool, we placed Apple and Alphabet against each other to find the better Magnificent 7 stock, according to Wall Street.
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Is Apple Stock a Buy, Sell, or Hold?
Apple stock has risen 10% year-to-date. The company recently reported better-than-expected top-line growth of about 17% for the March quarter, even as iPhone sales fell short of expectations amid memory supply constraints. Apple expects its June quarter revenue to grow in the range of 14% to 17%, handily surpassing the Street’s consensus of 9.5%.
Following the Q2 print, Bernstein analyst Mark Newman increased his price target for Apple stock to $350 from $340 and reiterated a Buy rating. Newman increased his estimates and price target to reflect continued market share gains and higher average selling prices (ASPs). The 5-star analyst added that market share gains in smartphones and PCs are materializing and are expected to continue.
Meanwhile, KeyBanc analyst Brandon Nispel reiterated a Hold rating on Apple stock, citing stretched valuation. The 4-star analyst noted that field-level data indicates that indexed spending declined 16% month-over-month in April, compared to the three-year average decline of 12%, while year-over-year growth decelerated significantly to -6% from 10% in March. Nispel added that this data is in line with expectations as AAPL growth, at least in the U.S., appears to be reverting toward normal seasonality, implying that growth upside needs to come from international markets. He thinks Apple stock’s premium valuation is difficult to justify, given that it is based on aggressive multi-year growth expectations.
Wall Street has a Moderate Buy consensus rating on Apple stock based on 18 Buys, 10 Holds, and one Sell. The average AAPL stock price target of $318.75 indicates 7% upside potential.
Is GOOGL Stock a Good Buy?
Alphabet stock has advanced 24% so far this year, driven by solid AI-driven momentum in Google Cloud, integration of AI in Search, and the growing adoption of the company’s TPU (Tensor Processing Unit) AI chips. Investors, who were previously concerned about AI disrupting the search engine giant, now view it as one of the AI winners.
On Tuesday, Bank of America analyst Justin Post reiterated a Buy rating on GOOGL stock with a price target of $430. The 5-star analyst noted that at the annual developer event (I/O 2026), Alphabet introduced several new AI products, reflecting an accelerating pace of AI innovation. Post added that while in prior years Google was seen as lagging in AI technology, this year’s product announcements highlighted the strength of its Gemini model and showed its leadership in shaping consumer AI experiences.
The developer event and solid search traffic data (AI Mode usage is doubling quarterly and has 1 billion users) supported Post’s view that Google remains well positioned to dominate the next phase of consumer AI adoption, backed by advanced AI capabilities, a differentiated full-stack platform, and superior global user reach.
Overall, Alphabet earns a Strong Buy consensus rating based on 27 Buys and five Holds. The average GOOGL stock price target of $425.68 indicates about 10% upside potential.
Conclusion
Wall Street is highly bullish on Alphabet stock and cautiously optimistic on Apple. Analysts are confident about Alphabet’s strong growth potential, driven by strength in Google Cloud, AI offerings, and demand for TPUs. GOOGL stock has outperformed AAPL year-to-date, with Wall Street seeing slightly higher upside potential in GOOGL than in AAPL stock.