Analysts at Raymond James recently raised their price forecast for Alphabet (GOOGL) stock, citing strength in Google Cloud and artificial intelligence. They pointed to gains across cloud services and AI features in search, ads, YouTube, Workspace and other Google products.
Raymond James analyst Josh Beck wrote, “We believe Google is likely entering a cycle of improving AI stack narrative and upward revisions that could create one of the highest quality top-line AI acceleration stories in the public universe.” He also forecast 44% cloud revenue growth in 2026 and 36% in 2027.
Those estimates top consensus of 34% and 31% growth respectively. The firm revised its target to $400 for GOOGL (Ed. note: The $400 target reflects nearly 21% upside from current prices).
Shares fell 1.4% over the last five days but rose 5.7% so far in 2026. Over the past year, GOOGL has gained about 66%, a top big-tech performer.
Google introduced the Gemini 3 AI model last year, improving coding, search and image generation. Alphabet also develops custom TPUs, which Raymond James says are becoming a stronger rival to Nvidia and could reduce chip dependence if adoption expands.
Analysts tied the recent market dip to tariff-related economic worries. They said the pullback looks temporary and does not change the firm’s bullish outlook for 2026.
