Jim Cramer Thinks Alphabet (GOOGL) Can Hit $400 – Here’s Why

We just covered the Jim Cramer Stock Portfolio: Top 10 Stock Picks. Alphabet Inc. (NASDAQ:GOOGL) ranks #3  (see the Jim Cramer’s top 5 stock picks in 2026 here).

Jim Cramer has openly regretted selling Alphabet Inc. (NASDAQ:GOOGL) shares due to AI-related threats and regulatory pressures. Cramer was uncertain whether the company would be able to keep its search dominance as more and more people turn to chatbots for answers. But the remarkable turnaround Alphabet Inc. (NASDAQ:GOOGL) made with its Gemini product made Cramer rethink his decision. He later bought back the stock for the Charitable Trust.

In November, he explained the story and comeback of Alphabet Inc. (NASDAQ:GOOGL).

“Alphabet already had a big leg up on other challengers to OpenAI,” Cramer said. “That’s because they figured out how to link Google the search company to Gemini, the AI company, in a seamless way. It’s a remarkable feat that many people thought there’d be a ton of cannibalization, but they just combined them onto the same page. The geniuses behind Alphabet and I mean geniuses, managed to figure out how to take advantage of Google to build Gemini, so it was never hard to find. But it’s only with this Gemini three that there’s a real breakout in the stock.”

Cramer said that the market realized Alphabet Inc. (NASDAQ:GOOGL) remains undervalued among the Mag. 7 group and started piling into it. However, he said the stock has more room to run. In a separate program, he said the stock can rise to $400.

“I don’t think Google stops here,” Cramer said. “I think Alphabet goes straight shot to 400. Straight shot.”

Jensen Quality Growth Equity Strategy explained in their fourth quarter 2025 investor letter why GOOG is “unusually well positioned” in the AI stack. Read the letter here.

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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