Alphabet Inc. (GOOG, Financial) reported a remarkable quarter, characterized by significant growth across its operations. The company's advancements in artificial intelligence have been pivotal, influencing various sectors and contributing to the positive trajectory. The search division achieved impressive revenue growth, bolstered by the introduction of new AI-based features such as AI Overviews and AI Mode. Additionally, YouTube and subscription services continue to perform well. The Cloud segment stood out with notable increases in revenue, backlog, and profitability, now boasting an annual revenue run-rate exceeding $50 billion. In response to the growing demand for its Cloud offerings, Alphabet plans to boost capital investments in 2025 to approximately $85 billion, anticipating significant opportunities ahead.
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 $205.78 with a high estimate of $240.00 and a low estimate of $185.00. The average target implies an upside of 7.45% from the current price of $191.51. More detailed estimate data can be found on the Alphabet Inc (GOOG) Forecast page.
Based on the consensus recommendation from 21 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 $201.53, suggesting a upside of 5.23% from the current price of $191.51. 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.
