Alphabet (GOOGL) stock rose 4% on Friday, helping the stock rebound from a rough first half of February. Several factors are helping GOOGL stock’s recent rally: the latest being a boost in revenue from Google Cloud. Indeed, Google has ramped up its capital expenditures connected to generative AI. Over the 2026–2027 timeframe, these expenditures are expected to generate between $19 billion and $23 billion in cloud income and an additional $5 billion to $6 billion in advertising revenue.
As of Friday’s close, Alphabet (GOOGL) stock traded at $314. It got solid buy calls on Wall Street last week, helping shares spur higher. TD Cowen has given a buy call for Google’s Alphabet stock with a target of $365. The investment bank’s research team sent a note to clients in February giving the buy call for GOOG. The bullish thesis comes despite the recent slump in tech stocks that has wiped away nearly $1.4 trillion in value.
If the price prediction turns out to be accurate, Google’s Alphabet stock could generate nearly 19% returns. Therefore, an investment of $1,000 now could turn into $1,190 if the forecast turns out to be accurate. TD Cowen is emphasizing Waymo, projecting the company’s subsidiary to grow across California.
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The recent price analysis from TD Cowen focuses on Google’s Waymo vehicles, making it the centerpiece for Alphabet stock to soar. The note highlighted Waymo’s 1.26 million trip completion in California recorded in December. That was an increase of 1.02 million recorded in September last year. Additionally, the Alphabet-owned robotics service is Tesla’s biggest competitor in autonomous cab service, with its fleet expanding rapidly in the past year. Now, by the end of 2026, the company aims to surpass one million paid rides each week.
Waymo ended last year having quadrupled the number of trips it provided, delivering 15 million rides in a single year and surpassing 20 million lifetime rides. The service now operates across six US cities and handles roughly 400,000 paid trips each week. Miami is the most recent launch, and the company is laying the groundwork for more than 20 additional cities this year alone. Furthermore, as Tesla has faced regulatory scrutiny, it has opened the door for Waymo to lead the robotics spotlight, sending GOOGL higher.