Mizuho analyst Lloyd Walmsley raised the price target on Alphabet (NASDAQ: GOOGL) to $420.00 (from $410.00) while maintaining a Outperform rating.

The analyst commented: "We raise our already above-Street Google Cloud estimates meaningfully and PT to $420 on (1) the latest signals around the Anthropic partnership and (2) a more refined backlog analysis. Street numbers underwrite too little revenue upside and margin power — especially if TPU sales translate into asset-light royalty-like economics. In our bull case, Cloud revenue reaches $149B in ’27 vs. Bloomberg consensus of $116B; at ~55% incremental margins, that implies roughly $18B of incremental ’27 OI. That equates to ~$1.23 of incremental EPS net of taxes; at ~35x GAAP P/E, we estimate $43/share of upside (14%). We take our '26/'27 EPS to $11.81/$14.04 vs Street at $11.62/$13.56. Stepping back, we see upside to the overall GOOGL multiple as cloud becomes larger in the OI mix, expanding the exposure to AI "pickaxe and shovels". Raising PT to $420 from $410."