Should I buy Alphabet stock in 2025?

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At HelloSafe, our expert has been monitoring Alphabet’s performance for over three years. Each month, hundreds of thousands of users in the United States trust us to break down market trends and highlight the top investment opportunities. Our analyses are created for informational purposes only and do not constitute investment advice. In line with our ethical charter, we have never been, and never will be, compensated by Alphabet.

What is Alphabet?

How much is Alphabet stock?

The price of Alphabet stock is rising this week. As of now, shares are trading at $161.30, up by $2.50 (+1.57%) in the past 24 hours, while the weekly change stands at -1.27%. Alphabet maintains a robust market capitalization of $1.97 trillion, with a 3-month average trading volume of 35.52 million shares. The stock features a P/E ratio of 18.02, a dividend yield of 0.52%, and a beta of 1.03. While Alphabet’s strong fundamentals remain attractive, current technical indicators suggest the potential for short-term volatility ahead.

Our full analysis on Alphabet stock

Having extensively reviewed Alphabet Inc.'s (GOOGL) latest quarterly financials, assessed its stock performance over the last three years, and synthesized a diverse set of data—including financial metrics, technical indicators, competitive benchmarking, and broader market dynamics through advanced proprietary algorithms—we provide here a comprehensive analysis. This deep dive aims to evaluate the risks and merits of Alphabet in a context of structural industry transformation and persistent innovation. So, why might Alphabet stock once again become a strategic entry point into the high-growth tech sector in 2025?

Recent Performance and Market Context

Alphabet’s share price currently stands at $161.30 (as of May 2, 2025), marking a solid rebound from the lows observed earlier in the year. After a modest recent pullback—down 1.27% over the past week and 5.83% over six months—the stock has remained broadly resilient, with only a 1.56% decline on a one-year basis against the backdrop of broader tech sector volatility. Importantly, Alphabet’s 2025 Q1 results significantly outpaced consensus expectations: revenue surged to $90.2 billion, up 12% year-over-year, and net income grew an impressive 46%, underlining robust operational leverage and sustained demand across core business lines.

Positive recent events further lift sentiment. The board’s authorization of a new $70 billion share repurchase program highlights enduring management confidence and provides underlying support for price stability and long-term value creation. Coupled with a 5% dividend increase and the rollout of Gemini 2.5—Alphabet’s most advanced AI model—investor appeal is amplified. At a sector level, ongoing strength in digital advertising, rapid cloud adoption, and the acceleration of AI integration across verticals create an increasingly attractive macro backdrop for leading ultra-cap tech franchises.

Technical Analysis

From a technical standpoint, Alphabet’s chart presents a nuanced picture, prime for strategic accumulation. The stock’s current price at $161.30 trades notably above its short-term 20-day moving average ($154.43), demonstrating a constructive short-term momentum shift. However, it remains slightly below the 50-day ($162.63), 100-day ($176.92), and 200-day ($171.57) moving averages, indicating room for further catch-up as the longer-term trend rebalances.

• RSI (14): 50.6, reflecting a neutral posture and suggesting the stock is neither overbought nor oversold, affording an encouraging base for subsequent moves.
• MACD: -0.90, a short-term bearish signal, but with the price consolidating near immediate support levels, this frequently precedes momentum reversals after periods of consolidation.
• Support: Strong at $158.21, providing downside protection for new entries.
• Resistance: Minor at $161.43, a breakout above which could reinforce bullish sentiment.

The convergence toward critical technical thresholds supports an interpretation of medium-term accumulation, with the potential for a new bullish phase to emerge, especially if price convincingly exceeds the 50-day average and MACD turns positive.

Fundamental Analysis

Alphabet’s fundamental strength continues to stand out across the tech sector. Q1 2025 saw double-digit revenue gains not only at the group level but also across pivotal segments:

• Google Services Revenue: $77.3 billion (+10% YoY), affirming Alphabet's unrivaled grip on digital advertising and ecosystem services.
• Google Cloud Revenue: Surging 28% YoY to $12.3 billion, reflecting the accelerating migration of enterprise workloads and Alphabet’s expanding presence in AI platforms.
• EPS: $2.81 (+49% YoY), driven by top-line expansion and margin improvement.

Valuation remains distinctly attractive in the context of large-cap growth technology names:

• P/E Ratio: 18.02, significantly below both its historic average and sector peers—a strong signal that the current market is undervaluing Alphabet’s growth and cash flow profile.
• PEG and P/S Ratios (not pictured): When aligned with recent and projected growth rates, Alphabet's multiples appear compellingly undemanding, particularly when compared to other “Magnificent Seven” tech stocks trading at much higher earnings multiples.
• Dividend Yield: 0.52%, now further sweetened by the latest increase, introducing an element of income return unusual for a tech growth leader.

Alphabet’s structural advantages remain formidable:

• Leadership in AI: The company’s Gemini model rollout and full-stack AI capabilities reinforce its innovation edge.
• Market Share: Alphabet commands dominant positions in search, streaming, and increasingly in cloud and productivity suites.
• Brand Strength: A global household name, its ecosystem of products continues to draw incremental users—now boasting 1.5 billion monthly users for AI-powered Search Overviews and 270 million paid subscriptions across services.

The combination of high-margin recurring revenues, deep-moat businesses, and prudent capital allocation makes Alphabet well-positioned not just for stability, but for sustainable future outperformance.

Volume and Liquidity

Liquidity is a cornerstone of Alphabet’s market standing. The stock trades with an average daily volume of 35.52 million shares, providing ample entry and exit flexibility even for institutional-sized trades. With nearly 5.8 billion shares floating publicly, market participants benefit from exceptional liquidity—an important factor underpinning dynamic and efficient price discovery.

Sustained high volume, especially following major earnings releases, is often a marker of renewed institutional interest and market confidence. This robust float ensures that Alphabet’s valuation remains grounded in market fundamentals rather than being subject to excessive speculative distortion.

Catalysts and Positive Outlook

Several powerful catalysts support a constructive view on Alphabet in both the short and medium terms:

• AI and Gemini Platform: The commercial launch and scaling of Gemini 2.5 not only cements Alphabet’s AI leadership but opens vast monetization avenues in Search, Cloud, and productivity applications.
• Shareholder Return Programs: The $70 billion buyback authorization instantly enhances earnings-per-share dynamics and conveys high management conviction.
• Cloud Expansion: Google Cloud’s rapid 28% top-line growth, underpinned by AI solutions, positions Alphabet to benefit from ongoing cloud migration and enterprise digital transformation.
• Subscription Growth: Reaching 270 million paid subscriptions underscores Alphabet’s successful transition toward recurring-revenue models across YouTube Premium, Google One, and more.
• ESG Leadership: Enhanced transparency, ongoing sustainability initiatives, and improved governance practices increasingly attract capital from ESG-focused investors.
• Macroeconomic Tailwinds: Resilient consumer demand, expanding digital advertising budgets, and a generally accommodative monetary environment (with the possibility of eased rates later in 2025) are supportive for top-tier tech.

Each of these factors, individually and collectively, point to a favorable upward context for the stock, providing multiple levers for future performance.

Investment Strategies

Given Alphabet’s unique positioning at the crossroads of growth, scale, and innovation, several strategic approaches emerge for investors seeking exposure:

• Short-term Entry: With prices currently testing strong support just above $158 and trading near the 20-day moving average, traders may view a breakout above the $161.43 resistance or a positive MACD turn as attractive triggers for fresh positions.
• Medium-term Positioning: The neutral RSI and ongoing high liquidity substantiate a tactical entry for those looking to benefit from the next earnings report or key AI product launches expected by year-end.
• Long-term Perspective: For portfolio builders, Alphabet’s below-market multiple, accelerating earnings, strong cash flow, and proactive capital return policies provide ample conviction. Current prices can be seen as a constructive setup to compound value over a multi-year horizon, especially as secular trends in AI, digital advertising, and cloud adoption continue to unfold.

In each case, entry at current technical and fundamental levels appears well-justified, whether for momentum-oriented strategies seeking near-term upside or valuation-aware investors focusing on structural growth.

Is it the Right Time to Buy Alphabet?

Bringing together the mosaic of Alphabet’s robust earnings trajectory, attractive valuation, relentless innovation, strong market share, and recently enhanced shareholder return framework, the company’s stock seems to represent an excellent opportunity for investors in 2025. The fundamental strengths—underscored by record-setting results in Google Cloud and AI-driven businesses—justify renewed interest at current levels. Simultaneously, the technical setup signals that the stock may be entering a new bullish phase once resistance levels are cleared.

While short-term volatility should not be discounted, the combination of deep liquidity, sustainable revenue growth, a sizable buyback program, and ongoing leadership in AI and digital platforms all indicate the stock is poised for attractive risk-adjusted returns. Alphabet’s dominant ecosystem, supported by diversified growth engines and prudent capital management, merits close attention for those seeking to capitalize on the next wave of technology sector expansion.

In the current context, Alphabet convincingly stands out as a stock to seriously consider for exposure to long-term innovation and technology market leadership—a position further strengthened by its improving technical posture and robust capital allocation discipline. For investors seeking resilient growth anchored by best-in-class fundamentals and strategic clarity, Alphabet offers a compelling opportunity to participate in the transformation of the digital economy.

How to buy Alphabet stock in United States?

Buying Alphabet (GOOGL) stock online is a simple and secure process when you use a regulated U.S. broker. Modern digital platforms make it easy to open an account, deposit funds, and invest—either through traditional spot buying (owning shares directly) or via Contracts for Difference (CFDs), which allow you to speculate on price changes with leverage. Each method suits different investor profiles and objectives. Below, we explain each approach and provide concrete examples. To help you make the right choice, a detailed broker comparison is available further down the page.

Spot buying

A cash, or spot, purchase means you buy Alphabet shares outright through your broker’s platform. This gives you direct ownership in the company, including voting rights and eligibility for dividends. U.S. brokers typically charge a flat commission per trade, often around $0 to $10 per order.

Example

If Alphabet is trading at $161.30 per share, and you invest $1,000, you can buy approximately 6 shares ($161.30 × 6 = $967.80). With a $5 commission, your total cost is $972.80, leaving a small cash balance.
✔️ Gain scenario:
If Alphabet’s share price rises by 10%, your shares are now worth around $1,100 ($1,000 × 1.10).
Result: +$100 gross gain, or +10% on your investment (before taxes and fees).

Trading via CFD

CFD trading allows you to speculate on Alphabet’s price movements without owning the actual shares. With CFDs, you can use leverage—boosting your upfront exposure—though this increases both potential gains and risks. Main fees include the spread (the difference between buy and sell prices, often a few cents per share) and overnight financing if you hold positions beyond a day.

Example

Suppose you open a $1,000 CFD position on Alphabet with 5x leverage. This means you control $5,000 worth of stock.
✔️ Gain scenario:
If the share price increases by 8%, your total exposure rises by $400 (8% of $5,000).
Result: +$400 gain on your $1,000 deposit (excluding spread and overnight costs, which can reduce profits).

Final advice

Before investing, it’s important to carefully compare brokers’ fees, available products (spot or CFD), and platform features. Each method offers distinct advantages: spot buying is ideal for long-term investors seeking ownership and dividends, while CFDs suit active traders seeking flexible strategies and leverage. Choose the approach that matches your goals and risk profile. For further assistance, consult the broker comparison located further down the page.

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Our 7 tips for buying Alphabet stock

The latest news about Alphabet

Alphabet reported outstanding Q1 2025 financial results, beating analyst expectations with robust U.S. revenue growth. Alphabet’s revenue reached $90.2 billion, up 12% year-over-year, with net income surging by 46% and EPS climbing 49% to $2.81. Google Services revenue increased by 10%, while Google Cloud’s impressive 28% growth was propelled by U.S. enterprise adoption of AI-driven solutions and infrastructure. Importantly, the company’s operating margin expanded to 34%, demonstrating strong operating leverage, and the reported performance exceeded Wall Street estimates, reinforcing optimism about the resilience and momentum of Alphabet’s U.S.-centric business lines.

The Board approved a significant $70 billion share repurchase authorization and raised its quarterly dividend for shareholders. On May 2, 2025, Alphabet’s Board of Directors authorized an additional $70 billion share repurchase program, signaling confidence in the company’s financial trajectory and commitment to shareholder value. Concurrently, Alphabet announced a 5% dividend hike to $0.21 per share, with the next payment scheduled for June 16, 2025. These capital return measures, particularly relevant to U.S. investors, underscore Alphabet’s capacity to generate and redistribute robust free cash flow, while supporting the total return profile for long-term stakeholders.

Alphabet rolled out Gemini 2.5, its most advanced AI model, and posted record AI product adoption in the U.S. market. The recent launch of Gemini 2.5, Alphabet’s state-of-the-art AI model, and the rapid expansion of AI Overviews in Search—now reaching 1.5 billion monthly users—highlight the company’s technological leadership and speed of innovation. Adoption by U.S. businesses and consumers has bolstered Google Cloud growth and enhanced product stickiness across Search, Workspace, and YouTube, distinguishing Alphabet as a frontrunner in integrating generative AI at scale.

Subscription businesses, including YouTube and Google One, surpassed 270 million paid users as U.S. demand remains strong. Alphabet’s subscription revenue continues to trend upward, with over 270 million paid subscribers across its services. The sharp increase in U.S. demand reflects successful monetization strategies for YouTube Premium, YouTube TV, and Google One, supporting revenue diversification and greater predictability of cash flows. This trend also acts as a strategic buffer against advertising cyclicality, delivering stable, regionally anchored growth.

Analyst consensus remains strongly positive, with a median price target of $202.12—a 30% upside from current levels. Despite mixed near-term technical indicators, the consensus view among U.S. analysts, corroborated by recent earnings beats and ongoing capital returns, points to robust long-term potential. Alphabet’s core businesses, strategic U.S. market focus, and ongoing investments in AI and cloud infrastructure lead experts to project a 30% appreciation from recent price levels, affirming Alphabet’s status as a fundamental pillar in the U.S. technology sector.

FAQ

P. Laurore

Finance expert

Co-founder of HelloSafe and holder of a Master's degree in finance, Pauline has recognised expertise in personal finance, which she uses to help users better understand and optimise their financial choices. At HelloSafe, Pauline plays a key role in designing clear, educational content on savings, investments and personal finance. Passionate about financial education, Pauline strives, with every piece of content she oversees, to provide reliable, transparent and unbiased information for independent and informed financial management. To this end, she has tested over 100 trading platforms to help internet users make the right choices.