After a stretch of steady losses, Alphabet's Google stock (NASDAQ: GOOG) finally broke its downward run on Monday. The search giant's shares climbed nearly 5%, gaining 16.59 points, and lifted off a monthly low of $344 to settle around the $351 level. Most analysts still expect GOOG to face further declines, but Mark Mahaney, the five-star analyst from Evercore ISI, sees it differently. He believes the leading AI giant is set to move higher from here, and argues that even taking an entry position above the $350 mark will still turn a profit.
What the Evercore ISI Target Signals
Evercore ISI, the global premier independent investment banking firm, said in a client note led by analyst Mark Mahaney that Google stock could kick off a fresh rally from here and push past the $400 level. Mahaney urged traders to start building entry positions in GOOG, as the equity looks poised for an upward move. Investors are expected to see double-digit gains as the leading stock climbs in value.
Evercore ISI has set a price target of $420 on Google stock. That works out to a roughly 20% upside and return on investment from the current price of $351. On top of that, traders taking an entry position at this level could expect a profit of $69 per share. If Mahaney's forecast proves accurate, an investment of $1,000 could grow into $1,200. That is a solid return, given that not every asset can deliver 20% gains in the market.
A Turnaround After a Month of Pressure
Google stock has spent the past month on the back foot amid a falling price. The equity came under heavy sell-offs and profit booking after hitting a yearly high of $408. Since then, GOOG has done little but head south, with barely any price spurts along the way. With the dust now settling, the search giant could reverse course and head north. The expert suggests GOOG may be close to bottoming out, setting the stage for a recovery.
