JMP Securities Reiterates Market Outperform on Alphabet, Raises PT to $250

JMP Securities Reiterates Market Outperform on Alphabet, Raises PT to $250

JMP Securities has reiterated its market outperform rating on Alphabet Inc. (GOOGL) and raised its price target to $250 per share. The analyst firm's decision follows a significant ruling by U.S. District Judge Amit P. Mehta, which blocked Alphabet from signing exclusive search engine deals but allowed the company to maintain current agreements, including one with Apple Inc. (AAPL) [1].

The ruling, announced on September 1, 2025, bars Alphabet from entering new exclusive search engine deals but permits the company to continue its current agreements. This decision, while not as severe as initially proposed by the Department of Justice, still requires Alphabet to share its Chrome search data with competitors [1].

JMP Securities analyst Justin Post noted that the ruling preserves Google's ability to maintain its search distribution position through traffic acquisition costs (TAC) payments to partners. He believes that Google's superior search monetization will keep most partners aligned with the company, with little incentive to develop their own search capabilities [1].

The ruling also highlights Google's improving position in artificial intelligence and search products, which Post sees as a catalyst for further multiple expansion for the stock [1]. Apple Inc. shares were also positively impacted, trading 3% higher in the premarket following the ruling [2].

JMP Securities' positive outlook on Alphabet is supported by the company's strong demand trends and accelerating growth in its Cloud business. The analyst firm expects continued evidence of Google's progress in AI and search usage growth to drive further multiple expansion for the stock [1].

References:
[1] https://www.kiplinger.com/investing/stocks/alphabet-googl-stock-pops-after-google-chrome-antitrust-ruling
[2] https://www.cnbc.com/2025/09/03/bank-of-america-raises-price-targets-for-googl-aapl.html