This week, Jefferies’ top analyst Brian Fitzgerald attended Alphabet Inc (NASDAQ:GOOGL) annual developer conference, Google I/O, in Mountain View, CA, and came out optimistic towards the strides the internet giant is making in AI.
As such, the analyst raises his price target for GOOGL to $1,200 (from $950), while reiterating a Buy rating on the stock. The new target implies about 25% potential upside from where the stock is currently trading.
Alphabet had no shortage of announcements during its developers conference and the analyst provides his five most standout announcements:
- Google Lens allows Android users to analyze their surroundings via the Google Assistant.
- Google Home continues to expand its capabilities, and will soon be able to make phone calls.
- Google is expanding AI into Google Photos by integrating Google Lens & introducing physical photo books.
- YouTube viewers are now watching more than 1B hours of video a day, a 10- fold increase since 2012.
- The Google Assistant will be immediately available as a standalone app on iPhone and iPad.
According to TipRanks.com, which measures analysts’ and bloggers’ success rate based on how their calls perform, 5-star analyst Brian Fitzgerald has a yearly average return of 22.2% and a 79% success rate. Fitzgerald has a 16.2% average return when recommending GOOGL, and is ranked #17 out of 4560 analysts.
Out of the 46 analysts polled by TipRanks, in the past 12 months, 39 rate Alphabet stock a Buy, while 7 rate the stock a Hold. With a return potential of 6.0%, the stock’s consensus target price stands at $1015.38.