Alphabet (GOOGL) Gains Momentum in AI Search and Cloud; BMO Ups Price Target to $294

Alphabet Inc. (NASDAQ:GOOGL) is one of the Hot AI Stocks to Keep on Your RadarOn October 9, BMO reiterated the stock as “Outperform” and raised its price target to $294 per share from $225. The firm credits the company’s strengthening leadership in its Search, Cloud, and YouTube platforms.

“GOOGL’s AI leadership continues to translate into strength in core Search and GCP [Google Cloud Platform] per expert checks, as GOOGL benefits from ongoing AI integrations and product launches, driving incremental user value.”

The firm noted that Google is “all in on AI integration into Search,” with “AI Mode scaling to 100M+ MAUs in the first 2 months.”

Photo by Kai Wenzel on Unsplash

It further highlighted how expert checks imply Google’s new AI search features are “providing publishers with less organic/SEO traffic, leading publishers to lean further into paid ads to recoup the lost traffic/revenue,” which are “a foreseeable tailwind for GOOGL and the broader advertising industry.”

Pointing to growth in Google Cloud Platform, it said that “GCP remains well-positioned for share gains, supported by AI product integrations and ramping AI-native workloads.”

Alphabet Inc. (NASDAQ:GOOGL) is an American multinational technology conglomerate holding company wholly owning the internet giant Google, amongst other businesses.

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