TD Cowen analyst John Blackledge has maintained their bullish stance on GOOG stock, giving a Buy rating on March 10.
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John Blackledge’s rating is based on the anticipated growth and strategic positioning of Google Cloud, particularly in the realm of Generative AI (GenAI). He expects Google Cloud to significantly increase its GenAI revenue, projecting a compound annual growth rate of 48% from 2025 to 2030. This growth is driven by the adoption of Google’s Gemini models, which are gaining traction among developers and are seen as a competitive advantage over AWS and Azure.
Additionally, Blackledge highlights the substantial capital expenditure Google is committing to its AI infrastructure, which is expected to rise significantly in the coming years. This investment aims to address current capacity constraints and support the increasing demand for Google Cloud’s AI offerings. The combination of these factors, including the potential for GenAI to become a larger portion of Google’s overall revenue, underpins Blackledge’s Buy rating for Alphabet Class C stock.
Blackledge covers the Communication Services sector, focusing on stocks such as Meta Platforms, Pinterest, and Alphabet Class C. According to TipRanks, Blackledge has an average return of 10.6% and a 55.81% success rate on recommended stocks.
In another report released on March 10, J.P. Morgan also maintained a Buy rating on the stock with a $220.00 price target.