Alphabet Inc.

(NASDAQ Global Select)
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Bullish +72

Alphabet Stock Is Up 46% Since Last October. Is It Still a Buy?

AI model release Capital raising Guidance raised AI-generated analysis

πŸ“ˆ Alphabet stock has gained 46% over the past year, closing at $352 on October 9, 2026.

☁️ Google Cloud revenue rose 82% YoY to $24.8 billion in Q2, excluding TPU system sales impact.

πŸ€– Google announced Gemini 4 Argon as its new flagship AI model following the stock's rally.

πŸ’° Analysts hold 44 Buys and 13 Outperforms with a mean price target of $429, 22% above current levels.

πŸ“Š TIKR mid-case model values GOOGL at $708 by December 2030, implying an 18% annual return.

πŸ’΅ Alphabet reported Q2 revenue up 24% to $119.8 billion against IBES estimates of $116.9 billion.

πŸ—οΈ CFO Anat Ashkenazi raised 2026 capital spending guidance to $195B-$205B from the previous $180B-$190B range.

πŸ“… Alphabet is scheduled to report Q3 results on October 28, offering a look at profitability support.

πŸ’Ό The company expects to recognize over 50% of its $514 billion Cloud backlog as revenue in the next 24 months.

πŸ“‰ Margin expansion is a key watch item as infrastructure investment continues to put pressure on the P&L.

Bullish Signals
  • Alphabet stock has gained 46% over the past year, closing at $352 on October 9, 2026.
  • Google Cloud revenue surged 82% YoY to $24.8 billion in Q2, demonstrating strong growth acceleration.
  • Analysts hold 44 Buys and 13 Outperforms with a mean price target of $429, 22% above the current close.
  • TIKR's mid-case model projects GOOGL reaching $708 by December 2030, implying a 101.5% total return.
  • Alphabet reported Q2 revenue up 24% to $119.8 billion, beating the IBES estimate of $116.9 billion.
  • CFO Anat Ashkenazi raised 2026 capital spending guidance to $195B-$205B to support infrastructure expansion.
  • The company expects to recognize over 50% of its $514 billion Cloud backlog as revenue in the next 24 months.
Risk Factors
  • CFO Anat Ashkenazi warned that increased infrastructure investment will continue to put pressure on the P&L.
  • The company faces scrutiny on whether its profitability can support the model's 33.5% net margin assumption.
Full Analysis
Alphabet (GOOG) stock has rallied 46% over the past year, closing at $352 on October 9, 2026. This significant gain follows a strong second quarter where Google Cloud revenue surged 82% year-over-year to reach $24.8 billion. The company recently announced Gemini 4 Argon as its new flagship AI model, further bolstering investor confidence in its technological advancements. Analyst sentiment remains overwhelmingly positive, with 44 Buy ratings and a mean price target of $429, representing a 22% premium to the current stock price. TIKR's mid-case valuation model projects GOOG reaching $708 by December 2030, implying a total return of over 100%. This projection is driven by assumptions of robust revenue growth and expanding net income margins. On the earnings call, CFO Anat Ashkenazi highlighted that cloud revenue growth has accelerated meaningfully even after excluding TPU system sales. She also raised full-year capital spending guidance to between $195 billion and $205 billion to support infrastructure investments. The company expects to recognize just over 50% of its massive $514 billion Cloud backlog as revenue within the next 24 months.