Alphabet’s Google Stock (GOOGL) Soars Toward an All-Time High as Gemini 3 Outperforms Rivals

Alphabet’s new Gemini 3 model has pushed the stock toward record highs as early tests show it outperforming OpenAI’s GPT-5.1 across key intelligence and coding benchmarks.

Alphabet (GOOGL), the owner of Google, is seeing its shares climb on Wednesday after strong early results confirmed its leadership in the race for the most capable artificial-intelligence model. Alphabet launched its Gemini 3 model on Tuesday, calling it its most advanced AI yet.

Wall Street and technology analysts have been overwhelmingly positive about its performance. Alphabet shares were up 5.7% at $300.54. If this gain holds, the stock would set a new all-time closing high and place Alphabet close to taking Microsoft’s spot as the third largest U.S. company by market value.

New Model Beats GPT-5.1 in Benchmarking Tests

The new Gemini 3 model is directly challenging OpenAI’s updated GPT 5.1, which powers the ChatGPT app. Analysts found that the earlier release of GPT-5 in August was disappointing, with scores showing it was only mildly better than existing models.

However, Gemini 3 is getting a much stronger reaction. D.A. Davidson analyst Alexander Platt noted: “Unlike GPT-5 that had mixed reactions and…was far better on vibe tests and qualitative assessments than what was reflected in its benchmark scores, Gemini 3 has outstanding benchmark scores that are also backed up by stellar performance in our own assessments and vibe tests.”

According to AI-benchmarking firm Artificial Analysis, Gemini 3 Pro appears to outperform GPT 5.1 across both general intelligence and coding-specific tasks.

Investor Confidence Shifts Towards a “Full-Stack AI Winner”

The successful launch is quickly changing how investors view Google. William Blair analyst Ralph Schackart stated: “In the last few months, investor sentiment has shifted significantly from doubting Alphabet’s ability to win in AI to now being discussed as a ‘full-stack AI winner.’ Gemini 3’s release should bolster investor confidence.”

Beyond the core model, Google is giving its AI Ultra subscribers a trial feature called Gemini Agent. This agent is designed to handle tricky jobs for you, like sorting out your email inbox or arranging travel bookings. The company is also launching a new set of tools for writing software code, called Google Antigravity. Plus, Google is opening a new AI research lab in Singapore to make Gemini even better and stronger over time.

Gemini Gains Massive User Base to Close Gap with ChatGPT

While benchmarking scores are important, user adoption truly determines market success. Google looks to be rapidly closing the gap with its rival in user numbers. Gemini currently has over 650 million monthly active users, which is a significant jump from about 450 million in July. This compares with ChatGPT’s 800 million weekly active users.

Moreover, Cantor analyst Deepak Mathivanan said this momentum matters because “Model advancements, historically, have had a notable benefit to user growth for AI apps and token consumption on enterprise workloads.”

Analysts will now watch for user growth on search and the Gemini app in 2026 to measure the true positive impact on Google’s core business.

Is Google a Good Stock to Buy Now?

Wall Street remains broadly optimistic on Alphabet Class A (GOOGL). Based on 38 analyst ratings over the past three months, Alphabet holds a Strong Buy consensus, with 31 Buy ratings, seven Holds, and zero Sell ratings.

Analysts see more upside ahead for the tech giant following the release of its new AI model. The average 12-month GOOGL price target is $312.00, which implies a 5.5% gain from the most recent share price.

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