On April 20, KeyBanc analyst Justin Patterson reiterated a Buy rating on Alphabet Inc. (NASDAQ:GOOGL) and raised the price target from $370 to $380. Analysts expect Alphabet Inc. (NASDAQ:GOOGL) to grow its EPS by 13.25% over the next 5 years, and the stock also ranks among our Best Stocks to Buy and Hold For the Next 5 Years.
Justin Patterson said in a research note that the Street underestimates the rapid ramp-up in Google’s cloud growth. He noted that the continued cloud growth has helped build strong momentum. This is particularly important as search remains in the low double digits.
KeyBanc forecasts Alphabet’s 2027 EPS nearing $14, supported by Cloud’s acceleration and broader AI opportunities. This projection aligns with broader analyst EPS estimates averaging $13.75 for 2027, though the firm sees upside from Cloud outpacing expectations.
Alphabet Inc. (NASDAQ:GOOGL) is a technology holding company and the parent of Google. It generates revenue primarily through advertising, cloud computing, and hardware, while overseeing “Other Bets”—subsidiaries in fields like artificial intelligence, autonomous driving (Waymo), and healthcare.
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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