Evercore ISI Reiterates Outperform Rating on Alphabet (GOOGL)

Evercore ISI analyst Mark Mahaney reiterated an Outperform rating and $205.00 price target on Alphabet (NASDAQ: GOOGL).

The analyst comments "Our View: In our view, Google kept the momentum going at I/O ’25 with clear progress on multiple fronts: 1) The new Gemini 2.5 family (Pro and “Flash”) is smarter and cheaper, helping lift Google’s monthly AI token processing by 50X Y/Y. 2) Search now shows AI Overviews to 1.5B users/month and adds an “AI Mode” tab that handles longer, chatstyle questions. 3) The Gemini app moves beyond chat: free Gemini Live voice-plus-camera chat, Deep Research uploads, Canvas creation tools, and an Agent Mode. 4) Google’s stack widens with the 10X-faster TPU v7 “Ironwood” and a new Android XR platform that powers Samsung’s Project Moohan headset and lightweight Geminicompatible glasses. Reiterate Outperform: We don’t believe there will be only one AI winner, but we think Google has successfully proven that it will remain a leader in the AI race. Our two biggest takeaways from this I/O are: 1) Google continues to show a high level of innovation across all fronts; and 2) AI Overviews boosting “overview-type” search queries by roughly 10% in the U.S. and India suggests to us that instead of disrupting Google Search, AI may actually accelerate it. We remain buyers of GOOGL at 16X ’25 P/E on a ~20% EPS growth CAGR."

For an analyst ratings summary and ratings history on Alphabet click here. For more ratings news on Alphabet click here.

Shares of Alphabet closed at $163.98 yesterday.

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