Sundar Pichai, chief executive officer of Alphabet Inc.
Kyle Grillot | Bloomberg | Getty Images
Alphabet shares closed at $200 per share for the first time on Friday as investors grow increasingly bullish on the company’s opportunities in artificial intelligence.
The stock gained 1.1% on Friday and a little over 2% for the week to close at $200.21. It’s up almost 6% in 2025, while the Nasdaq is up 3.3% so far this year.
Tech’s megacap companies start reporting earnings next week, with Microsoft, Meta and Tesla scheduled to announce results on Wednesday, followed by Apple on Thursday. Alphabet is slated to report fourth-quarter results on Feb. 4.
Alphabet’s revenue in the third quarter increased 15% from a year earlier, accelerating from about 11% growth in the same period in 2024. The company generated $88.3 billion in sales in the third quarter and saw record cloud revenue.
While Alphabet faces increased competition due to advancements in generative AI, particularly from OpenAI, analysts generally view Google as a winner in AI as the company adds new features to products across its portfolio.
In a report on Friday, Morgan Stanley analysts pointed to the company’s progress of its AI agent products, Project Astra and Project Mariner, as well as its large language model Gemini 2.0 released in 2024. Still, the firm said “the utility bar to hurdle and scale” its consumer products is “high.”
In a 2025 strategy meeting with employees last month, Google executives said they expect a year of increased competition, regulatory hurdles and advancements in AI. Despite product mishaps in the first half of 2024, the second half of the year featured a number of important AI products.
Alphabet shares have gained 35% in the past year. Among tech’s highest-valued companies, the best performer has been Nvidia, up 132%, followed by Tesla at 96%. Meta and Amazon have also outperformed Alphabet, while Apple and Microsoft have underperformed. The Nasdaq has gained 29% in the past year.
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