JPMorgan Bullish on ‘MAG7’ Tech Group, Expects Strong Revenue Growth for Internet Sector in 2026

Alphabet Inc. (NASDAQ:GOOG) is one of the best Reddit stocks to invest in right now. On December 12, JPMorgan raised the firm’s price target on Alphabet to $385 from $340, while maintaining an Overweight rating on the shares. The firm maintains a positive outlook on the MAG7 group as it moves into 2026, anticipating another solid year of revenue growth for the internet sector.

Earlier in Q3 2025, Alphabet recorded its first-ever $100 billion quarter. Total revenue for the quarter reached $102.3 billion, which marked a 16% increase year-over-year. The company’s net income rose by 33% to $35 billion, resulting in an EPS of $2.87, which was a 35% increase year-over-year.

JPMorgan Bullish on 'MAG7' Tech Group, Expects Strong Revenue Growth for Internet Sector in 2026

The company’s growth was fueled by core segments and investments in AI. Google Services revenue increased 14% year-over-year to $87.1 billion. Google Cloud was the fastest-growing segment, with revenue of $15.2 billion, marking a 34% increase. YouTube Advertising revenue also saw solid growth, up 15% year-over-year to $10.3 billion. YouTube is pursuing a twin-engine monetization strategy, with both advertising and subscription services showing strong growth.

Alphabet Inc. (NASDAQ:GOOG) offers various products and platforms in the US, Europe, the Middle East, Africa, the Asia-Pacific, Canada, and Latin America. It operates through Google Services, Google Cloud, and Other Bets segments.

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Disclosure: None. This article is originally published at Insider Monkey.