Vandita Jadeja
Tue, May 5, 2026 astatine 10:55 AM CDT 4 min read
Quick Read
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Google (GOOGL) bushed Q1 net with $109.9B successful gross (up 22% YoY) and $5.11 EPS versus $2.63 consensus, portion Google Cloud surged 63% to $20B with a backlog astir doubling to $460B, supporting a $502.88 terms people with 31% upside.
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Google’s accelerating unreality maturation backed by a $460B backlog and 60% surge successful Gemini API usage offsets concerns astir CapEx doubling to $35.7B successful Q1, arsenic absorption deploys superior straight into AI capableness and unreality infrastructure.
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The expert who called NVIDIA successful 2010 conscionable named his apical 10 stocks and Google wasn't 1 of them. Get them present FREE.
Our 24/7 Wall St. terms people for Google (NASDAQ: GOOGL) points to $502.88 implicit the adjacent 12 months, which would instrumentality shares good past the $500 mark. With GOOGL trading astatine $383.25, that implies 31.21% upside. The model's standing is bargain with a precocious assurance speechmaking of 90%. Cloud is compounding, Gemini usage is scaling rapidly, and escaped currency travel continues to money the buildout.
24/7 Wall St. Price Target Summary
| Current Price | $383.25 |
| 24/7 Wall St. Price Target | $502.88 |
| Upside | 31.21% |
| Recommendation | BUY |
| Confidence Level | 90% |
Cloud Surge and the Sprint Past $380
GOOGL has rallied sharply. Shares are up 9.39% successful the past week, 29.58% implicit 1 month, and 134.45% implicit the past year. The catalyst was a blowout Q1 FY2026 study connected April 29, 2026: gross of $109.896 cardinal (up 21.79% YoY) and EPS of $5.11 against a $2.63 consensus, a 94.1% beat. Google Cloud gross jumped 63% to $20.028 billion, with backlog astir doubling to implicit $460 billion.
The expert who called NVIDIA successful 2010 conscionable named his apical 10 stocks and Google wasn't 1 of them. Get them present FREE.
Operating borderline expanded to 36.1%, and the committee raised the dividend 5% to $0.22 per quarter.
The Case for $575+
Cloud is accelerating 4th implicit quarter, and the $460 cardinal backlog gives multi-year gross visibility. Gemini is processing much than 16 cardinal tokens per infinitesimal via API, up 60% from the anterior quarter, portion paid subscriptions reached 350 million. Waymo is moving implicit 500,000 autonomous rides per week and conscionable closed a $16B backing round.
CEO Sundar Pichai stated: "2026 is disconnected to a terrific start. Our AI investments and afloat stack attack are lighting up each portion of the business." Our bull-case script lifts GOOGL to $576.54 by May 2027, a 50.43% full return.
What Could Stall the Rally
The carnivore lawsuit centers connected superior intensity. Q1 CapEx of $35.674 cardinal much than doubled YoY, dragging escaped currency travel down 46.63% to $10.116 billion. Full-year 2026 CapEx guidance of $175 cardinal to $185 cardinal is substantial. Bulls antagonistic that this walk funds the unreality backlog and AI capableness straight tied to the 63% Cloud growth.

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