Alphabet Inc. (NASDAQ:GOOGL) is among the 13 Best Big Name Stocks to Buy Now. On Friday, JMP Securities upgraded the stock from Market Perform to Market Outperform, while maintaining a price target of $220 per share.
A user’s hands typing a search query into a Google Search box, emphasizing the company’s search capabilities.
The revision comes as analysts believe artificial intelligence is becoming a new tailwind for the company. They also noted Alphabet Inc. (NASDAQ:GOOGL)’s massive user base, compared to rivals, which is helping drive robust revenue growth.
The firm highlighted how AI Overviews has resulted in a 10% query growth and is expected to expand from 1.5 billion monthly users in the first quarter of 2025 to 4 billion by the end of the third quarter. Analysts also estimate the feature to cover around two-thirds of the queries by the next quarter.
Wall Street analysts maintain a bullish outlook for Alphabet Inc. (NASDAQ:GOOGL), with a consensus Buy rating and a one-year average price target of $201.74, representing a 17% upside potential from its current trading value.
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.
