Alphabet Inc. (NASDAQ:GOOGL) is one of the AI Stocks on the Market’s Radar. On October 30, Bank of America reiterated the stock as “Buy” and raised its price target on the stock to $335 per share from $280 following earnings.
“We see Alphabet as well positioned long term with leading AI technology to apply to search, YouTube and Cloud businesses.”
Analysts at the firm believe that Google is well-positioned for artificial intelligence due to its advanced models, proprietary TPU technology, and huge user base.
The firm also believes there may be several beneficiaries arising from its growing AI capabilities. Meanwhile, long-term projects such as Waymo and quantum computing aren’t yet reflected in the company’s valuation.
“We believe results will reinforce the view that: 1) Google is well positioned for AI with a leading LLM, proprietary TPU technology and massive user base, and 2) there can be multiple beneficiaries from growing AI capabilities. Also, early-stage bets like Waymo and quantum computing offer meaningful long-term optionality, not reflected in valuation. At AH price of ~$294 stock is valued at 24x our ’27 EPS, (vs S & P 22x), in line with historical premium despite a big AI growth cycle ahead. Next catalyst: Gemini 3.0 launch in 4Q. Risk: OpenAI’s ads launch in 2026 could intensify competition.”
Alphabet Inc. (NASDAQ:GOOGL) is an American multinational technology conglomerate holding company wholly owning the internet giant Google, amongst other businesses.
While we acknowledge the potential of GOOGL as an investment, we believe certain AI stocks offer greater upside potential and carry less downside risk. If you’re looking for an extremely undervalued AI stock that also stands to benefit significantly from Trump-era tariffs and the onshoring trend, see our free report on the best short-term AI stock.
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Disclosure: None.
