智通财经网·2025-12-31 23:50Core Viewpoint - Analysts are increasingly optimistic about Alphabet's stock price outlook for 2026, driven by the enhancement of search tools through artificial intelligence, which is expected to boost search query volume and user engagement [1][2]. Group 1: Analyst Ratings and Price Targets - Citizens analyst Andrew Boone raised Alphabet's target price from $340 to $385, implying a potential upside of approximately 22% from the previous closing price of $313.85 [1]. - TD Cowen analyst John Blackledge assigned a "Buy" rating with a target price of $350, highlighting the positive impact of AI Mode and Overviews on search engagement [1]. - Evercore ISI analyst Mark Mahaney maintained an "Outperform" rating with a target price of $325, noting that AI innovations are expected to create a better search experience, leading to sustained revenue growth [2]. Group 2: Market Sentiment and Performance - Alphabet's stock has risen 66% this year, outperforming major indices such as the S&P 500, Nasdaq Composite, and Dow Jones Industrial Average [2]. - The market sentiment has shifted positively, with analysts noting that despite increased AI search usage, Google's overall usage remains stable [2]. Group 3: Valuation Concerns - Alphabet's current price corresponds to a forward P/E ratio of approximately 27.9, which is higher than its five-year average of 21.7 [3]. - The ability of AI to consistently translate into search and advertising revenue growth is seen as a critical factor for further expansion of its valuation [3].