Alphabet’s Google (NASDAQ:GOOGL) has reached a historic milestone, officially crossing the $3 trillion market capitalization mark. This achievement cements its place among the elite group of mega-cap companies, joining Nvidia (NASDAQ:NVDA), Microsoft (NASDAQ:MSFT), and Apple (NASDAQ:AAPL). Investors are now asking the pressing question: with GOOGL stock soaring, is there still room to buy?
GOOGL Stock at $3 Trillion: Why It Matters
After months of uncertainty around regulatory risks, a recent U.S. Department of Justice ruling gave Google much-needed clarity. The court decision confirmed that the company will not be forced to divest its Chrome browser. This outcome eased investor concerns, and the market reacted strongly. On September 15, shares surged 4.5%, lifting Alphabet into the rare $3 trillion club.
This milestone not only underscores Google’s long-term resilience but also highlights its position as the second-best-performing “Magnificent Seven” stock in 2025, trailing only Meta Platforms (NASDAQ:META).
About Google’s Business and AI Advantage
GOOGL stock has been propelled by a wide array of growth drivers. While advertising remains the backbone of its business, Google has successfully expanded into cloud computing, autonomous driving, streaming, and healthcare technology.
The company’s early commitment to artificial intelligence sets it apart. Long before AI became Wall Street’s hottest trend, Google integrated machine learning into core products like Search, YouTube, and Maps. Today, its Gemini AI models are central to Google’s strategy, powering new tools such as AI Overviews in Search and the Gemini chatbot, which already boasts 450 million monthly active users.
This early lead in AI adoption is one of the reasons investors continue to see GOOGL stock as a long-term winner.
Strong Q2 Earnings Support GOOGL Stock
Google’s second-quarter 2025 earnings underscored its momentum. Revenue grew 14% year-over-year to $96.4 billion, surpassing analyst expectations. Earnings per share rose 22% to $2.31, while operating income climbed to $31.3 billion.
Google Cloud emerged as a star performer, reporting 32% year-over-year growth to $13.6 billion. Its cloud backlog has expanded to $106 billion, reflecting surging demand for AI infrastructure. Search revenue also held steady, rising 11.7% to $54.1 billion, even as AI competition intensifies.
These results highlight Alphabet’s ability to maintain dominance while scaling new business lines.
AI and Expansion Plans
Management has significantly raised its capital expenditure forecast for 2025, now expecting to spend $85 billion, up from $75 billion. Most of this increase is tied to cloud and AI investments, reflecting Google’s aggressive push to meet skyrocketing demand.
AI Overviews, now used by more than 2 billion people worldwide, shows how quickly Google is embedding generative AI into daily life. Combined with YouTube’s advertising momentum and Waymo’s growing presence in autonomous driving, the case for long-term growth in GOOGL stock is strong.
Analyst Sentiment on GOOGL Stock
Wall Street remains bullish on GOOGL stock. Evercore ISI recently raised its price target to $300 from $240, maintaining an “Outperform” rating. The firm highlighted Google’s continued dominance in commercial-intent searches and its successful AI integration into core services.
Overall, Alphabet carries a consensus “Strong Buy” rating. Out of 54 analysts, 40 call it a “Strong Buy,” five rate it a “Moderate Buy,” and nine say “Hold.” With shares already above the average target of $236.53, the Street’s highest forecast of $300 suggests nearly 20% upside from current levels.
Should You Buy GOOGL Stock Now?
With regulatory clouds clearing, earnings growth accelerating, and AI adoption scaling rapidly, GOOGL stock looks well-positioned for continued gains. While its $3 trillion valuation reflects investor confidence, analysts still see room for upside.
For long-term investors seeking exposure to AI, cloud, and digital advertising, Alphabet remains one of the market’s strongest mega-cap opportunities. The question isn’t just whether to buy GOOGL stock—it’s whether you can afford to ignore it.
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