‘Google Search Fears Are Overblown,’ Says Five-Star Analyst

Amid growing concerns over AI disrupting traditional search engines, five-star-rated analyst Brian Pitz at BMO Capital remains confident in Google’s (GOOGL) long-term dominance, stating that it is far from over. In a new note, Pitz argues that fears surrounding Google Search’s future are “overblown,” pointing to its scale, user trust, and ongoing AI innovation as key strengths. He also reiterated his Buy rating on GOOGL stock at a price target of $200.

BMO Analyst Downplays AI Threat

A recent BMO survey of 1,000 U.S. internet users shows that people are sticking with Google as their main search engine, compared to the survey conducted in August 2024. The findings reveal that most users would continue using Google even if it weren’t set as the default option on their devices.

Notably, users show strong loyalty to Google and are generally happy with its new AI Overviews, which suggests that Google Search remains a trusted and preferred tool. Overall, the survey suggests that worries about AI-powered competitors taking over may be less serious than many expected.

Pitz’s comments come at a time when the tech world is closely watching how AI developments could impact major internet search players like Google. Recently, Apple (AAPL) confirmed that Google searches through Safari had declined for the first time in 22 years. This shift reflects the rise of AI assistants like ChatGPT and Microsoft’s (MSFT) Copilot, which are quickly becoming the preferred tools for fast, confident answers.

Even so, Pitz remains optimistic, arguing that Google is well-positioned to adapt in the evolving search landscape.

Are Google Shares a Good Buy?

Overall, Wall Street analysts have a Strong Buy consensus rating on GOOGL stock based on 28 Buys and nine Holds assigned in the past three months. The average GOOGL price target of $197.69 per share implies a 20.57% upside potential.

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