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Google Stock Stuck as AI Capex Soars, Bernstein Says Hold

Google stock stagnant amid AI spending concerns, Bernstein hold rating, $385 target.

  • Alphabet’s Google stock opened Monday at $341 and remains range-bound with no major price fluctuations since May’s yearly high of $408.
  • The company’s AI capex rose from $180 billion to $205 billion for 2026, sparking Wall Street concerns over overspending in the sector.
  • Bernstein gave Google stock a hold rating with a $385 price target, down from a prior $390, implying an 11% potential upside.
  • Analyst Mark Shmulik, a five-star-rated strategist with a 69.4% success rate, issued the rating, further dampening near-term price projections.

Alphabet’s Google stock (NASDAQ: GOOG) opened Monday’s trading session at $341, remaining range-bound this month with little to no major price fluctuations. Investments have stayed stagnant since May after reaching a yearly high of $408, while the recent earnings call revealed Alphabet’s AI capex rising from $180 billion to $205 billion for 2026.

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Consequently, Wall Street has pushed back against overspending in the AI sector, adding to the company’s woes. Leading asset management firm Bernstein has given Google stock a hold rating, signaling that the equity may stay range-bound for some time.

Senior analyst Mark Shmulik set a price target of $385, cutting his previous target by $5, which still represents an approximate 11% return on investment from the current price. Shmulik is a five-star-rated analyst with a 69.4% success rate, and traders have earned average returns of 19% from his estimations.

Meanwhile, the stock’s three-month stagnation has pushed traders toward other tech names like Micron, SanDisk, and SK Hynix. If Google stock continues its slow pace, other equities could overtake its top-10 market position.

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