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Jefferies raises Alphabet price target after AI chatbot test

Jefferies raised the firm’s price target on Alphabet (GOOG) (GOOGL) to $285 from $230 and keeps a Buy rating on the shares after the firm’s Internet/Software team ran AI chatbot tests using the same 10 prompts across Google Gemini, OpenAI ChatGPT, and Perplexity. While noting that ChatGPT won overall with a score of 2.4, followed closely by Google Gemini at 2.3, then Perplexity at 2.2, the firm believes AI is “not a zero-sum game” and sees Google being a leading copilot for consumers, especially if it can seamlessly integrate search, AI Overviews, and Gemini AI Mode into a single interface.

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