William O’Neil Reinstates Alphabet With a Buy: Is the Search Giant’s Self-Driving Future Finally Getting Its Due? William O’Neil, a well-known analyst, has reinstated Alphabet with a Buy rating, emphasizing the company’s diversified growth across AI-powered search, YouTube, Google Cloud, and Waymo’s autonomous vehicle initiatives. The analyst highlights Alphabet’s ability to monetize AI and cloud infrastructure investments, positioning the company as a compelling opportunity at current valuations. Despite the Buy consensus, investors are advised to monitor Q1 2026 earnings and execution risks tied to the company’s planned $175–$185 billion in capital expenditures for 2026. Alphabet’s stock currently trades near $312, below the analyst consensus target of $376.29, with 61 Buy or Strong Buy ratings and zero Sell ratings across Wall Street. The analyst’s case centers on Alphabet’s multi-engine growth strategy, which includes Google Search, YouTube, Google Cloud, AI integration, and Waymo’s autonomous driving expansion. These segments delivered strong results in the most recent quarter, providing a solid foundation for the Buy recommendation. Google Cloud stands out, with revenue reaching $17.66 billion in Q4 2025, a 48% year-over-year increase. Operating income more than doubled, and the segment now operates at an annual run rate exceeding $70 billion, supported by a $155 billion backlog as of Q3 2025. Alphabet’s fiscal 2025 revenue surpassed $400 billion for the first time, with full-year net income hitting $132.17 billion, a 32% year-over-year rise. Google Search revenue alone reached $63.07 billion in Q4, while YouTube’s combined ads and subscriptions revenue exceeded $60 billion annually.#sundar_pichai #alphabet #google_cloud #waymo #william_oneil
