Alphabet (GOOGL) stock has advanced 13% over the past month and is up about 70% year-to-date. Truist analyst Youssef Squali sees more upside potential in GOOGL stock and raised his price target to $350 from $320, citing expectations of higher advertising revenue.
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The surge in the shares of the parent company of search engine giant Google, YouTube, and Google Cloud is driven by optimism about the artificial intelligence (AI)-led growth in the Google Cloud unit, the launch of the Gemini 3 AI model, and reports that Meta Platforms (META) is considering using Google’s Tensor Processing Units (TPUs) in its data centers.
Truist Analyst Is Bullish on GOOGL Stock
Squali reiterated a Buy rating on GOOGL stock and stated that he expects U.S. e-commerce and digital ad spending to hit a record high in the holiday season, thanks to a “resilient consumer buoyed by a healthy job market.” The analyst’s optimism is also based on more efficient digital ad channels, driven by AI advancements.
The 4-star analyst raised his price target and tweaked his estimates mainly to reflect higher advertising revenues, indicating continued momentum across e-commerce so far this holiday season. Also, the improved estimates are supported to a lesser extent by increased top-line assumptions for the Other Bets unit in the years ahead, supported by Waymo’s rapid roll-out to more cities across the U.S.
Likewise, Pivotal Research analyst Jeffrey Wlodarczak reiterated a Buy rating on Alphabet stock and increased the price target to a Street-High of $400 from $350, citing sustained momentum in the company’s business lines. “Search is a resilient cash cow with pricing power, a powerful driver of GOOG’s best-in-class Gemini AI, with an opportunity to leverage AI to take massive costs out of the search business,” said the analyst.
Is GOOGL Stock a Buy, Sell, or Hold?
With 29 Buys and seven Holds, Wall Street has a Strong Buy consensus rating on Alphabet stock. The average GOOGL stock price target of $320.15 indicates shares are fully priced at current levels.
