Alphabet’s (NASDAQ:GOOGL)(NASDAQ:GOOG) annual developer conference, or Google I/O, is scheduled for May 10, and news is rife in the market that the technology giant could unveil a slew of AI (Artificial Intelligence) innovations. The AI ramp-up will likely open up significant growth opportunities for the company and could fuel its stock price higher.
The immense popularity of OpenAI’s ChatGPT and its wide applications indicates that the market for AI/ML (Machine Learning) solutions is extensive, offering solid growth opportunities ahead. Further, AI has been a key driver of GOOGL’s business.
Alphabet has made significant investments in AI, which is expected to drive opportunities in search, ads, and beyond. In March, the company unveiled its ChatGPT rival, Bard. Since then, the company has made Bard more powerful. During the Q1 conference call, GOOGL announced that Bard could help with software development and programming tasks, including code generation. It also introduced a new security solution leveraging generative AI.
Monness analyst Brian White views Google as the leading player in the AI space. The analyst expects the company to leverage “AI across a deep portfolio of hardware, software, and services.”
In a note to investors dated April 26, White said that Alphabet is well-positioned to innovate with AI and expects the company to unveil more AI innovations during its annual developer conference.
White is bullish about GOOGL stock, and his price target of $135 implies a lucrative upside potential of 25.67%.
What’s the Prediction for GOOGL Stock?
GOOGL stock has 29 unanimous Buy recommendations for a Strong Buy consensus rating. These analysts’ average price target of $129.50 implies 20.63% upside potential.