Alphabet’s (GOOGL) AI Overviews Are Monetizing Well—Analysts See Upside Ahead

Alphabet Inc. (NASDAQ:GOOGL) is one of the AI Stocks in the Spotlight Right NowOn July 22, Stifel analyst Mark Kelley raised the price target on the stock to $218.00 (from $200.00) while maintaining a “Buy” rating. The rating affirmation follows positive Search trends, particularly AI Overviews, which continue to monetize at a healthy rate despite weaker clicks.

The firm highlighted that better conversion rates for AI-driven search results are resulting in higher cost-per-click (CPC) metrics for the company’s core search business. It also believes that Alphabet is likely to report positive upside to estimates in its second-quarter results. However, positive market reaction may fade after the earnings.

This is because some ongoing challenges have been making the stock “controversial,” such as scepticism over the AI landscape and several Department of Justice lawsuits that the company is facing.

Alphabet’s (GOOGL) AI Overviews Are Monetizing Well—Analysts See Upside Ahead

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

While we acknowledge the risk and potential of GOOGL as an investment, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and doing so within a shorter time frame. If you are looking for an AI stock that is more promising than GOOGL and that has 10,000% upside potential, check out our report about this cheapest AI stock.

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