A Wall Street analyst has reaffirmed a bullish price target on Google parent Alphabet (NASDAQ: GOOGL) while maintaining a ‘Neutral’ rating, despite raising revenue expectations for the company’s cloud business.
According to a June 3 update from UBS analyst Stephen Ju, the firm maintained its $410 Alphabet price target.
The updated Google stock forecast follows UBS revisions to its Google Cloud model, raising cloud revenue estimates by 24% for 2026 and 34% for 2027.
However, the firm lowered Alphabet’s EPS forecasts by about 1% and 7%, respectively, citing weaker margins from chip sales and a more cautious outlook for converting non-Vertex cloud backlog into revenue.
UBS said investors remain focused on the pace of cloud backlog monetization and the profitability impact of growing AI infrastructure investments.
UBS now expects Alphabet’s revenue to exceed Wall Street consensus by roughly 7% in 2026 and 16% in 2027.
However, earnings forecasts remain largely in line with consensus, suggesting stronger cloud growth may not immediately translate into higher profitability as the company continues investing in AI infrastructure and expansion.
Wall Street bullish on Google stock
Meanwhile, Wall Street remains broadly bullish on Alphabet. According to TipRanks data, GOOGL carries a ‘Strong Buy’ consensus rating from 33 analysts, with 28 recommending a buy and five suggesting a hold. No analysts currently rate the stock a sell.
The average 12-month Alphabet stock price target stands at $427.89, implying upside potential of 18.18% from the current share price of $362.06.
Analyst forecasts range from a low target of $349.94 to a high target of $515, reflecting differing views on Alphabet’s growth and profitability outlook.
While the average target suggests moderate upside, the highest forecast indicates the stock could gain more than 42% over the next year.
At the same time, the lowest target remains slightly below current trading levels, highlighting differing views on the pace of future growth and profitability.
