Google’s parent company, Alphabet stock (NASDAQ: GOOG), has received an updated rating by Wells Fargo analyst Ken Gawrelski. The leading tech giant opened Tuesday’s bell at $311 after dipping more than 1% on Monday. The latest price update gives GOOG a bullish trajectory despite the tech sector being on a slippery slope.
Wells Fargo’s update on Google comes when hedge funds have been selling tech stocks this year in fear of excessive spending on AI. Several commentators have been calling the AI sector a bubble that could soon pop. The claim comes from the fall of the Metaverse sector, in which tech giants, including Meta, invested and lost billions.
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Google Stock Revised Price Prediction by Wells Fargo
Wells Fargo’s Ken Gawrelski has upgraded Google stock from ‘Neutral’ to ‘Buy’ on Monday, February 23. He highlighted GOOG’s run on Friday as a sign that the asset could climb much higher. The development made the analyst review the previously-neutral rating to ‘buy’. GOOG went from $309 to $315 on Friday, despite the tech sector seeing a dip in value.
Simultaneously, the Wells Fargo analyst has revised the Google stock price prediction from $353 to $387. That’s an increase of approximately 10% in value from the previous prediction. This makes GOOG bullish as Wall Street analysts are projecting better prospects for the giant.
The timeline provided by the Wells Fargo analyst for GOOG to reach $387 is 12 months. According to Gawrelski, accumulating Alphabet stock between $310 to $290 could be a better decision. The leading equity could bottom out at these levels after confidence in the industry returns.
The price prediction estimates that GOOG could surge by approximately 25% in the next 12 months. Therefore, an investment of $1,000 in Google stock could turn into $1,250 if the price prediction turns out to be accurate.
