SunTrust Robinson Humphrey analyst Youssef Squali raised his stock price target for Google-parent Alphabet Inc. , by just enough to make him the most bullish on the internet search giant, citing signs of material improvement in search advertising spending. Squali raised his target to $1,805 from $1,550 and reiterated the buy rating he's had on the stock for at least the past three years. Of the 42 analysts surveyed by FactSet, Squali's target is now just above the second-place target of $1,800, from both Brent Thill at Jefferies and Laura Martin at Needham. "Conversations with marketers suggest there was material improvement in search ad spend from the March lows and throughout 2Q20, as shutdowns were reversed, especially in sectors such as retail," Squali wrote in a note to clients. "The month of March marked the trough with negative [year-over-year] growth, but April and May saw material improvement, with some stabilization in June." Stifel Nicolaus analyst Scott Devitt also raised his stock price target to $1,550 from $1,400 while keeping his buy rating, as he adjusted the discount rate used the value the company given what will likely be a prolonged period of low interest rates. Alphabet's stock fell 1.2% in morning trading, and has now pulled back 2.7% since closing at a record $1,539.01 on July 10. The S&P 500 has gained 0.6% over the same time. Read More...
SunTrust Robinson Humphrey analyst Youssef Squali raised his stock price target for Google-parent Alphabet Inc. , by just enough to make him the most bullish on the internet search giant, citing signs of material improvement in search advertising spending. Squali raised his target to $1,805 from $1,550 and reiterated the buy rating he’s had on the stock for at least the past three years. Of the 42 analysts surveyed by FactSet, Squali’s target is now just above the second-place target of $1,800, from both Brent Thill at Jefferies and Laura Martin at Needham. “Conversations with marketers suggest there was material improvement in search ad spend from the March lows and throughout 2Q20, as shutdowns were reversed, especially in sectors such as retail,” Squali wrote in a note to clients. “The month of March marked the trough with negative [year-over-year] growth, but April and May saw material improvement, with some stabilization in June.” Stifel Nicolaus analyst Scott Devitt also raised his stock price target to $1,550 from $1,400 while keeping his buy rating, as he adjusted the discount rate used the value the company given what will likely be a prolonged period of low interest rates. Alphabet’s stock fell 1.2% in morning trading, and has now pulled back 2.7% since closing at a record $1,539.01 on July 10. The S&P 500 has gained 0.6% over the same time.
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