Citi analyst Ronald Josey lowered the price target on Alphabet (NASDAQ: GOOGL) to $229.00 (from $232.00) while maintaining a Buy rating.

The analyst comments "With Search and YT growth reaccelerating and although Cloud demand is gated by capacity constraints (which we view as a longer-term positive), we emerge from 4Q results incrementally positive and would take advantage of any dislocations in shares (-8% after hours). To be clear, the ramp in ‘25E CapEx to $75 billion (+43% Y/Y) impacts our FCF and EPS projections, but with Search AI Overviews now live across 100+ countries we are encouraged with increased query volumes such that the net result is likely more sustained Search growth going forward. Comps are tougher in 1Q and Google is investing, but we believe the broader online advertising environment remains relatively healthy. We maintain our Buy rating though lower our TP slightly to $229 as investments impact profitability."