Alphabet (GOOGL) Outlook: Analysts See Google TPUs as Strong NVIDIA Alternative

Alphabet Inc. (NASDAQ:GOOGL) is one of the AI Stocks Analysts Are Backing Right Now. On September 2, DA Davidson analyst Gil Luria raised the price target on the stock to $190.00 (from $180.00) while maintaining a Neutral rating.

The analysts told investors in a research note that despite an ever-competitive AI accelerator market, Alphabet’s TPUs are the best alternative to NVIDIA. The gap between them has significantly closed over the past year.

“Even in an AI accelerator market that is becoming more competitive by the day whether via foreign participants or labs/hyperscalers developing their own chips, we continue to believe that Google’s TPUs remain the best alternative to NVIDIA, with the gap between the two closing significantly over the past 9-12 months.”

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“And during this time, we’ve seen growing positive sentiment around TPUs, particularly among our checks which are indicating to us that, should Google sell its systems externally to customers, demand would be there and specifically from notable frontier AI labs.”

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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