Alphabet Approaching Breakout As Stock (GOOGL) Nears All-Time High

Alphabet's stock price (GOOGL) is approaching its all-time high, hitting an intraday peak of $252.76, edging closer to its record of $256.70. A decisive breakout above the $250 resistance level, especially on strong trading volume, could signal further upward momentum and initiate a new phase of price discovery.

The stock (NASDAQ:GOOGL) has demonstrated significant year-to-date growth of 31.01%, reflecting investor confidence in the company's strategic direction and financial health. 

On September 15, the company's market capitalization surpassed $3 trillion for the first time, fueled by optimism surrounding artificial intelligence (AI) advancements and a favorable antitrust court ruling. 

The recent U.S. District Court decision, which rejected the Department of Justice's severe antitrust proposals, has  significantly boosted investor sentiment. This ruling allows Alphabet to retain control over key assets like Chrome and the Android operating system, alleviating concerns about potential divestitures and reinforcing its strong position in the tech ecosystem.

Alphabet's robust financial performance in the second quarter of 2025 further supports its upward momentum. The company reported revenues of $96.43 billion, exceeding expectations by $2.43 billion and reflecting a 14% year-over-year increase. This growth was largely driven by a 32% surge in Google Cloud revenue, reaching $13.6 billion. Google Cloud's annual revenue run-rate surpassed $50 billion, with significant contracts, including several valued at over $1 billion.

Price Targets

Strategic investments in AI are also playing a crucial role in Alphabet's stock performance. The company has committed to a substantial capital expenditure of $75 billion in 2025, focusing on expanding data center capacity to support its AI initiatives. This investment underscores the company's confidence in AI's potential and aims to enhance services like Google Search and the development of AI platforms such as Gemini.

Markets are closely monitoring the stock's movement around the $250 resistance level, as a sustained breakout could signal further gains and a new phase of price discovery. It could take a few attempts to push through, and sustain a move, but in markets such as these, you never know!