Alphabet (NASDAQ:GOOG) Price Target Cut to $375.00 by Analysts at JPMorgan Chase & Co.

Key Points

• JPMorgan lowered Alphabet’s price target from $425 to $375 while maintaining an “overweight” rating, implying approximately 32.8% upside from the reported share price.
• Alphabet shares fell $39.57 to $282.32 during Thursday trading after the company reported adjusted EPS of $2.12, missing the $3.01 consensus estimate, while revenue narrowly missed forecasts despite rising 24.7% year over year.
• Analyst sentiment remains broadly positive, with a “Moderate Buy” consensus rating and an average price target of $412.05, although investors are weighing strong cloud growth against rising AI infrastructure spending and weaker-than-expected advertising trends.

Alphabet (NASDAQ:GOOG - Get Free Report) had its price objective lowered by research analysts at JPMorgan Chase & Co. from $425.00 to $375.00 in a research report issued on Thursday, Benzinga reports. The firm currently has an "overweight" rating on the information services provider's stock. JPMorgan Chase & Co.'s price objective suggests a potential upside of 32.83% from the stock's current price.

A number of other research analysts also recently commented on the company. Wells Fargo & Company set a $417.00 target price on Alphabet and gave the company an "overweight" rating in a research note on Tuesday, October 6th. Benchmark reiterated a "buy" rating on shares of Alphabet in a report on Thursday. Zacks Research lowered shares of Alphabet from a "strong-buy" rating to a "hold" rating in a report on Wednesday, August 5th. Bank of America reaffirmed a "buy" rating on shares of Alphabet in a report on Thursday. Finally, Stifel Nicolaus set a $485.00 target price on shares of Alphabet in a research report on Thursday, October 8th. Six research analysts have rated the stock with a Strong Buy rating, thirty-five have given a Buy rating, five have given a Hold rating and one has assigned a Sell rating to the stock. According to MarketBeat.com, Alphabet presently has an average rating of "Moderate Buy" and a consensus target price of $412.05.

Alphabet Price Performance

Shares of GOOG stock traded down $39.57 during midday trading on Thursday, reaching $282.32. 91,798,694 shares of the company were exchanged, compared to its average volume of 20,542,471. Alphabet has a 12 month low of $271.41 and a 12 month high of $404.47. The company has a market cap of $3.45 trillion, a P/E ratio of 14.18, a PEG ratio of 0.91 and a beta of 1.19. The company's 50 day moving average price is $338.12 and its two-hundred day moving average price is $338.76. The company has a debt-to-equity ratio of 0.16, a quick ratio of 2.64 and a current ratio of 2.72.

Alphabet (NASDAQ:GOOG - Get Free Report) last issued its quarterly earnings results on Thursday, October 29th. The information services provider reported $2.12 earnings per share for the quarter, missing analysts' consensus estimates of $3.01 by ($0.89). Alphabet had a return on equity of 51.32% and a net margin of 54.77%. The company had revenue of $127.58 billion during the quarter, compared to analyst estimates of $127.97 billion. During the same period in the prior year, the company posted $2.87 earnings per share. The company's revenue was up 24.7% on a year-over-year basis. On average, sell-side analysts expect that Alphabet will post 20.60 earnings per share for the current year.

Insider Buying and Selling

In other news, Director Frances Arnold sold 83 shares of Alphabet stock in a transaction dated Wednesday, September 30th. The shares were sold at an average price of $340.45, for a total value of $28,257.35. Following the completion of the transaction, the director owned 19,076 shares of the company's stock, valued at $6,494,424.20. This trade represents a 0.43% decrease in their position. The sale was disclosed in a legal filing with the SEC, which is available at this link. 12.99% of the stock is currently owned by corporate insiders.

Institutional Trading of Alphabet

Several large investors have recently made changes to their positions in GOOG. BlackRock Inc. raised its stake in Alphabet by 1.4% during the 2nd quarter. BlackRock Inc. now owns 369,922,502 shares of the information services provider's stock valued at $130,704,718,000 after purchasing an additional 5,164,200 shares during the period. State Street Corp increased its stake in shares of Alphabet by 2.8% in the second quarter. State Street Corp now owns 190,923,442 shares of the information services provider's stock valued at $67,458,980,000 after buying an additional 5,208,690 shares in the last quarter. Amundi grew its stake in shares of Alphabet by 22.9% during the first quarter. Amundi now owns 21,922,379 shares of the information services provider's stock valued at $6,288,654,000 after purchasing an additional 4,083,758 shares during the last quarter. Deutsche Bank AG increased its stake in shares of Alphabet by 5.6% in the 2nd quarter. Deutsche Bank AG now owns 17,313,729 shares of the information services provider's stock valued at $6,117,460,000 after buying an additional 913,666 shares during the period. Finally, Wellington Management Group LLP increased its position in Alphabet by 24.9% in the second quarter. Wellington Management Group LLP now owns 17,209,454 shares of the information services provider's stock worth $6,080,616,000 after purchasing an additional 3,432,287 shares during the period. Institutional investors and hedge funds own 27.26% of the company's stock.

Key Alphabet News

Here are the key news stories impacting Alphabet this week:

• Positive Sentiment: Google Cloud revenue more than doubled year over year to approximately $30.7 billion, while operating income tripled and margins expanded to 36.2%. Backlog increased to roughly $561 billion, supporting the long-term case for Alphabet’s cloud and AI investments. Alphabet's Cloud Business Just Doubled
• Positive Sentiment: Revenue rose 24.7% year over year to $127.6 billion, and search query growth reached its strongest rate in five years. Analysts who remain bullish argue that Alphabet’s valuation, advertising franchise and growing cloud business could create a long-term buying opportunity. Alphabet: Generational Buy Opportunity
• Neutral Sentiment: OpenAI reportedly plans to purchase Google’s custom TPU chips, potentially expanding Alphabet’s AI infrastructure business and reducing reliance on Nvidia. However, the commercial impact and deal terms remain uncertain. OpenAI Reportedly Plans to Buy Google's AI Chips
• Negative Sentiment: Alphabet reported adjusted EPS of $2.12, well below expectations near $3.00, while revenue also narrowly missed forecasts. An approximately $8.7 billion unrealized investment loss, largely tied to its SpaceX stake, significantly pressured reported profit. Alphabet Q3 Earnings Report
• Negative Sentiment: Capital expenditures reached about $51.4 billion and quarterly free cash flow turned negative by roughly $9.1 billion. Investors are questioning whether Alphabet can generate sufficient returns from its AI infrastructure spending, particularly as debt and other potential AI obligations increase. Alphabet Falls After Earnings
• Negative Sentiment: Search and YouTube advertising growth was weaker than expected, reinforcing fears that AI chatbots and AI-generated search results could reduce direct user engagement or shift Alphabet toward lower-margin queries. Analysts have consequently flagged slower search growth and margin pressure. Alphabet Earnings Reflect AI Pressure on Search

About Alphabet

Alphabet Inc is a technology holding company best known as the parent organization of Google. Founded in 2015 through a corporate restructuring, Alphabet oversees Google and a collection of businesses focused on technology, online services, communications, artificial intelligence, and other emerging areas.

Google's principal products and services include its internet search engine, digital advertising platforms, YouTube, Android, Chrome, Google Maps, Google Play, and Google Workspace. The company also provides cloud computing, data storage, cybersecurity, productivity, and artificial intelligence services through Google Cloud.

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