Alphabet C: Scotiabank Raises PT to $240, Maintains Sector Outperform Rating

Alphabet C: Scotiabank Raises PT to $240, Maintains Sector Outperform Rating

July 02, 2025 — Scotiabank (TSX:BNS) has raised its price target for Alphabet Inc. (NASDAQ:GOOG) stock to $240.00 from $200.00, while maintaining a Sector Outperform rating. This update reflects the Canadian bank's positive outlook on Alphabet's improved trends and performance.

According to InvestingPro data, 12 analysts have recently revised their earnings estimates upward, with targets ranging from $185 to $237 [1]. Scotiabank cited several factors contributing to this positive outlook, including improved search trends, the growing dominance of YouTube as the most-watched video provider on televisions in the United States, and the acceleration of the artificial intelligence narrative.

The firm expects stronger search trends, favorable foreign exchange conditions, and cost controls to drive a second-quarter earnings beat, while also anticipating growth in paid clicks alongside improved monetization. Additionally, Google's recent advancements in AI technology, such as the rollout of Gemini 2.5 Pro and the DeepMind division's achievements, have contributed to Alphabet's positive trajectory.

In partnership news, Google has teamed up with Rivian Automotive (NASDAQ:RIVN) to integrate Google Maps into Rivian's navigation system, enhancing the user experience. Analyst firm Raymond James has reiterated its Outperform rating for Alphabet, citing momentum in AI and Google Cloud Platform as key factors.

References:
[1] https://www.investing.com/news/analyst-ratings/scotiabank-raises-alphabet-stock-price-target-to-240-on-improved-trends-93CH-4145687
[2] https://www.gurufocus.com/news/2987872/scotiabank-raises-price-target-for-transalta-tac-to-c20-tac-stock-news