Google Stock Rises 3 Days Straight: Is $390 the Next Target?

Alphabet’s Google stock (NASDAQ: GOOGL) surged for three straight days, rising from a low of $328 to a high of $345. The search giant opened Wednesday’s trading session at $341 and is well positioned to breach the $350 zone if the positive momentum continues this week. The spike in value comes after nearly four months, during which the asset hit a yearly high of $408 in mid-May. Traders are now looking to take an entry position, as the equity is well-suited for a rally next.

The 4.1% surge in the last three days has brought in a sense of fresh optimism in Google stock. Wall Street has been closely watching the developments and has stepped back after Alphabet announced during the previous earnings call that it would raise AI spending from $180 billion to $205 billion for 2026. This led several retail and institutional investors to give GOOGL a miss, as the returns are yet to be realized. Increased capex spending is the primary reason AI-based stocks face heightened volatility this year.

Can Google Stock Reach $390 Next?

Bank of America has reassured investors that Google stock stands a chance of breaching the $390 level. The bank noted that Google’s global daily web visits have increased by 3% year-over-year to 2.8 billion during August last month. On the contrary, ChatGPT’s web traffic declined 5% year-over-year to 181 million. BofA compared this to Google’s AI chatbot Gemini, where traffic surged 261% annually. The report highlighted that Alphabet is gaining an edge over its competitors in the broader AI segment.

The note from Bank of America also stressed Google’s continued dominance over mobile usage. Analysts wrote that Alphabet has a scaling advantage to outgrow its users compared to ChatGPT. All of these will create a meaningful impact on Alphabet’s revenue in the next earnings call. Alphabet’s fast-growing AI chatbot Gemini will prove to be the catalyst for Google stock to climb above the $390 level. All cards are stacked in favor of GOOGL and can make a meaningful impact on the indices.