Google Positioned to Lead in AI Race, Wells Fargo Says
Written by Emily J. Thompson, Senior Investment Analyst
Updated: Mar 27 2026
0mins
Should l Buy GOOGL?
Source: CNBC
- Price Target Increase: Wells Fargo raised its price target on Alphabet from $387 to $397, indicating a 41% upside from Thursday's close, reflecting strong confidence in its future growth prospects.
- AI Competitive Advantage: Analysts noted that Google possesses all the necessary elements to emerge as an AI winner, including industry-leading capabilities and extensive consumer data, with expected monetization through GCP and Gemini.
- Strategic Acquisition: Google completed its $32 billion acquisition of cloud security firm Wiz this month, aimed at enhancing the security of Google Cloud Platform, particularly in multicloud and AI functionalities, further solidifying its market position.
- Revenue Growth Expectations: Wells Fargo anticipates that by 2026, revenues from GCP and operational intelligence will grow by 4% and 6%, respectively, with further increases of 7% and 14% expected in 2027, showcasing Google's robust growth potential in the cloud computing sector.
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Analyst Views on GOOGL
Wall Street analysts forecast GOOGL stock price to rise
33 Analyst Rating
26 Buy
7 Hold
0 Sell
Strong Buy
Current: 297.390
Low
305.00
Averages
374.25
High
400.00
Current: 297.390
Low
305.00
Averages
374.25
High
400.00
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.
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- Cloud Computing Growth: Google Cloud's revenue surged 48% year-over-year in Q4, making it the fastest-growing among major cloud competitors, indicating its increasing popularity for AI application development, particularly due to its custom chips that offer better cost performance.
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