{"id":569613,"date":"2026-03-29T23:46:31","date_gmt":"2026-03-29T23:46:31","guid":{"rendered":"https:\/\/www.newsbeep.com\/ca\/569613\/"},"modified":"2026-03-29T23:46:31","modified_gmt":"2026-03-29T23:46:31","slug":"alphabet-will-surge-40-as-google-becomes-an-ai-leader-wells-fargo-says","status":"publish","type":"post","link":"https:\/\/www.newsbeep.com\/ca\/569613\/","title":{"rendered":"Alphabet will surge 40% as Google becomes an AI leader, Wells Fargo says"},"content":{"rendered":"<p>Alphabet has room to run due to Google being well positioned to emerge as a frontrunner in the artificial intelligence race, according to Wells Fargo. The bank raised its price target on Alphabet to $397 from $387, implying 41% upside from Thursday&#8217;s close. It maintained an overweight rating on the tech giant. &#8220;GOOGL has all the pieces necessary to be an AI winner, with an industry-leading capacity position to support internal efforts (Search, Gemini) and monetize externally through GCP, broad distribution network, and vast consumer data,&#8221; analyst Ken Gawrelski said Thursday in a note to clients. &#8220;We&#8217;re more comfortable with Google&#8217;s competitive position in search, given progress with AI mode and Gemini adoption, and overall see AI as TAM expanding.&#8221; GOOGL YTD mountain GOOGL year to date Google has made several moves to become a bigger player in the AI industry, competing with other Silicon Valley heavyweights such as Meta and Amazon.com . Last fall, Google struck a deal with Anthropic to grant the AI company access to up to one million of its custom-designed Tensor Processing Units, or TPUs. The agreement is expected to bring more than a gigawatt of AI compute capacity online this year. The company also completed earlier this month its $32 billion acquisition of cloud security firm Wiz. The deal aims to bolster the security of Google Cloud Platform, including its multicloud and AI features. &#8220;Google [is] leveraging its compute capacity advantage to develop new profit pools,&#8221; Gawrelski wrote, adding that he expects GCP and operational intelligence revenue to increase 4% and 6%, respectively, in 2026. Wells Fargo also expects revenues from those businesses to jump 7% and 14%, respectively, in 2027. The analyst added that Google&#8217;s Broadcom TPU sales to Anthropic are expected to result in $2.5 billion and $7.5 billion &#8220;incremental, high-margin (85%) Google Cloud revenue&#8221; in 2026 and 2027, respectively, given the firm&#8217;s IP licensing fee of $2,500 per TPU. Wells Fargo&#8217;s call falls in line with consensus on the Street. Of the 60 analysts covering Alphabet, 53 have a buy or strong buy on shares. Alphabet has fallen 10% since the beginning of the year amid a double-digit decline among all the &#8220;Magnificent Seven&#8221; stocks.<\/p>\n","protected":false},"excerpt":{"rendered":"Alphabet has room to run due to Google being well positioned to emerge as a frontrunner in the&hellip;\n","protected":false},"author":2,"featured_media":569614,"comment_status":"","ping_status":"","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[20],"tags":[62,26743,7174,276,277,27604,161,49,48,1385,15850,3097,61],"class_list":["post-569613","post","type-post","status-publish","format-standard","has-post-thumbnail","category-artificial-intelligence","tag-ai","tag-alphabet-class-a","tag-amazon-com-inc","tag-artificial-intelligence","tag-artificialintelligence","tag-broadcom-inc","tag-business-news","tag-ca","tag-canada","tag-investment-strategy","tag-meta-platforms-inc","tag-stock-markets","tag-technology"],"_links":{"self":[{"href":"https:\/\/www.newsbeep.com\/ca\/wp-json\/wp\/v2\/posts\/569613","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.newsbeep.com\/ca\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.newsbeep.com\/ca\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/ca\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/ca\/wp-json\/wp\/v2\/comments?post=569613"}],"version-history":[{"count":0,"href":"https:\/\/www.newsbeep.com\/ca\/wp-json\/wp\/v2\/posts\/569613\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/ca\/wp-json\/wp\/v2\/media\/569614"}],"wp:attachment":[{"href":"https:\/\/www.newsbeep.com\/ca\/wp-json\/wp\/v2\/media?parent=569613"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.newsbeep.com\/ca\/wp-json\/wp\/v2\/categories?post=569613"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.newsbeep.com\/ca\/wp-json\/wp\/v2\/tags?post=569613"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}