Google, a business unit of Alphabet (GOOG, Financial), is initiating buyouts for its U.S.-based employees within the knowledge and information sector. This division is crucial as it encompasses Google's primary search operations and a significant portion of its advertising business. The decision, as detailed in a staff email from a senior executive, comes in the wake of rising competition from ChatGPT, posing a potential threat to Google's search dominance. Furthermore, recent developments in a U.S. antitrust case, which ruled against Google, might impact the company's future distribution capabilities for its search tools.
Wall Street Analysts Forecast
Based on the one-year price targets offered by 18 analysts, the average target price for Alphabet Inc (GOOG, Financial) is $201.56 with a high estimate of $225.00 and a low estimate of $185.00. The average target implies an upside of 12.02% from the current price of $179.93. More detailed estimate data can be found on the Alphabet Inc (GOOG) Forecast page.
Based on the consensus recommendation from 22 brokerage firms, Alphabet Inc's (GOOG, Financial) average brokerage recommendation is currently 1.6, indicating "Outperform" status. The rating scale ranges from 1 to 5, where 1 signifies Strong Buy, and 5 denotes Sell.
Based on GuruFocus estimates, the estimated GF Value for Alphabet Inc (GOOG, Financial) in one year is $199.83, suggesting a upside of 11.06% from the current price of $179.93. GF Value is GuruFocus' estimate of the fair value that the stock should be traded at. It is calculated based on the historical multiples the stock has traded at previously, as well as past business growth and the future estimates of the business' performance. More detailed data can be found on the Alphabet Inc (GOOG) Summary page.
