Alphabet price target raised to $275 from $215 at Baird

Baird analyst Ross Sandler raised the firm’s price target on Alphabet (GOOGL) to $275 from $215 and keeps an Outperform rating on the shares. Google continues to dominate the search market at 90%-plus share even as new generative artificial intelligence platforms are growing users and usage, the analyst tells investors in a research note. The firm’s analysis indicates that Google dominates the “all-important” commercial queries while AI search accounts for only 1% of total referral traffic and an “immaterial” percent of conversions so far. Baird believes AI chatbots are expanding search’s total addressable market and not cannibalizing it.