Alphabet resumed with a Buy at Stifel

Stifel analyst Mark Kelley resumed coverage of Alphabet (GOOGL) with a Buy rating and $130 price target. The early demos for Microsoft’s (MSFT) Bing via OpenAI "have been quite impressive," and "Google’s have been disappointing," but the firm does not expect a monumental shift in consumer behavior or Search ad spending, the analyst tells investors. Google has been focused on AI for some time and Stifel estimates more AI-based searches are likely to weigh on margins somewhat. The firm adds that it expects Google to take preemptive steps that "may appease regulators before there is a resolution to the DOJ case" and that it sees a substantial opportunity for YouTube and YouTube TV.