Alphabet’s Google stock (NASDAQ: GOOG) is in the spotlight after crashing 13% on October 29, 2026, and went straight from $322 to $282 erasing nearly 40 points in a single trading session. The crash came following the Q3 earnings release on October 28, 2026, marking the worst single-day drop in Alphabet’s history since it went public in 2004. The drop highlighted a massive shift on Wall Street, where investors have stopped rewarding AI spending. Things got serious after Alphabet executives admitted during the earnings call that Google was struggling to effectively monetize its new “AI mode” search results.
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Why Bank of America is Bullish on Google Stock
Bank of America Securities analyst Justin Post has given Google stock a buy rating on October 30, 2026. He wrote in a note to clients, arguing that the 13% crash was a “massive overreaction” from Wall Street. He called the stock “undervalued” at this range and outlined key reasons why investors should look past the Q3 earnings. The analyst urged institutional clients to buy the dip, suggesting that buying GOOG below $300 is beneficial.
Justin Post explained that the market panic is over “AI Overviews” that can dilute traditional search traffic and click-through rates. He noted that Google has successfully navigated every major technological transition it has faced. He expressed strong confidence that Alphabet will successfully monetize its massive AI traffic in the next quarters. When that happens, Google stock could surge in value, and not remain at the $282 range. The Bank of America Securities analyst has predicted that Google stock could reach a target of $380.
The $380 target for Google stock implies that the equity could surge 37% in value next. That’s an uptick and return on investment (ROI)of double digits if the forecast turns out to be accurate. Therefore, an investment of $1,000 could turn into $1,370 if the Bank of America Securities’ target is met. This makes Google stock a must-watch, as the upside potential is immense. Taking an entry position in the $278 range and holding on for the long term is beneficial.