Is Alphabet Stock Going to $175? 1 Wall Street Analyst Thinks So.
Alphabet (NASDAQ: GOOG) (NASDAQ: GOOGL) investors are flying high -- and so is their stock. On Monday, shares of the internet search-and-advertising giant got a 4.1% lift from news that Apple might bundle Google Gemini artificial intelligence (AI) tools onto its iPhones. Then on Friday came more good news: Investment bank Wedbush slapped a "best ideas" label on Alphabet and raised its price target for Alphabet stock to $175 a share -- implying this $150 stock could gain 17% in the next 12 months or so.
Wedbush analysts note that Alphabet possesses an "unmatched" library of data, images, texts, and videos with which to train its Gemini AI product, as well as a "massive" base of YouTube, Android, and other Alphabet product users providing more data every day.
Scale is important in machine learning, which tries to answer questions by crunching lots of data and guessing at what word most logically follows the last when composing an answer. The more data an AI has access to, the more likely it will guess right -- and Google's 95% share of internet search, for example, gives it that scale. Alphabet thus starts out the AI wars with more data than its rivals, and can further monetize this data by selling it to those rivals should Alphabet so desire. (And by the way, as Wedbush points out, Alphabet has a "proven track record of effective monetization" when deciding which route to pursue).
Source Fool.com
Alphabet Inc. A Stock
The stock is an absolute favorite of our community with 79 Buy predictions and no Sell predictions.
As a result the target price of 162 € shows a slightly positive potential of 3.47% compared to the current price of 156.56 € for Alphabet Inc. A.
