Alphabet Shares Surge 63%, Outperforming Magnificent Seven Tech Stocks
Written by Emily J. Thompson, Senior Investment Analyst
Updated: 1h ago
0mins
Source: Fool
- Strong Financial Performance: Alphabet's stock has surged 63% this year, significantly outperforming Nvidia's 37%, reflecting its robust performance in cloud computing and artificial intelligence, which enhances market confidence and investor expectations for future growth.
- Legal Victory: Alphabet successfully avoided the worst-case scenario of divesting its Google Chrome browser in the antitrust lawsuit by the U.S. Department of Justice, eliminating a significant threat to its core advertising business and further solidifying its market position.
- AI-Driven Growth: By implementing AI tools in search algorithms and ad automation, Alphabet has improved search results and ad revenue, which is expected to continue driving profitability and market share growth over the next five years.
- Cloud Computing Potential: Google Cloud's backlog reached $155 billion, a 46% increase from Q2, and despite fierce competition from Amazon and Microsoft, Alphabet's cloud business is rapidly expanding, expected to generate substantial revenue growth for the company.
GOOGL
$313.51+Infinity%1D
Analyst Views on GOOGL
Wall Street analysts forecast GOOGL stock price to fall over the next 12 months. According to Wall Street analysts, the average 1-year price target for GOOGL is 312.00 USD with a low forecast of 236.00 USD and a high forecast of 350.00 USD. However, analyst price targets are subjective and often lag stock prices, so investors should focus on the objective reasons behind analyst rating changes, which better reflect the company's fundamentals.
38 Analyst Rating
31 Buy
7 Hold
0 Sell
Strong Buy
Current: 314.090
Low
236.00
Averages
312.00
High
350.00
Current: 314.090
Low
236.00
Averages
312.00
High
350.00
About GOOGL
Alphabet Inc. is a holding company. The Company's segments include Google Services, Google Cloud, and Other Bets. The Google Services segment includes products and services such as ads, Android, Chrome, devices, Google Maps, Google Play, Search, and YouTube. The Google Cloud segment includes infrastructure and platform services, collaboration tools, and other services for enterprise customers. Its Other Bets segment is engaged in the sale of healthcare-related services and Internet services. Its Google Cloud provides enterprise-ready cloud services, including Google Cloud Platform and Google Workspace. Google Cloud Platform provides access to solutions such as artificial intelligence (AI) offerings, including its AI infrastructure, Vertex AI platform, and Gemini for Google Cloud; cybersecurity, and data and analytics. Google Workspace includes cloud-based communication and collaboration tools for enterprises, such as Calendar, Gmail, Docs, Drive, and Meet.
About the author

Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.





