Rosenblatt Initiates Buy Rating for Alphabet

Rosenblatt initiated coverage on Alphabet Inc. (NASDAQ:GOOGL) with a buy rating and set a price target of $410.

The firm believes cloud will sustain momentum and support multiple expansion as operating profit scales ahead of current expectations with capacity and TPU monetization past 2027.

Rosenblatt said the re-rating from search concerns has largely played out and Alphabet is now being compensated for its role in AI infrastructure.

The firm assumes coverage from another analyst and cites the company's position as a leading hyperscaler in the artificial intelligence cycle.