Alphabet Inc. (GOOG, Financial) saw its stock drop nearly 3% after announcing a $100 million settlement to address allegations regarding its advertising practices from 2004 to 2012. The class-action lawsuit, filed in 2011, accused the company of overcharging advertisers using its AdWords platform, now known as Google Ads. The accusations included failure to apply discounts and charging for unintended geographic clicks. Although Alphabet denied the claims, the company agreed to the settlement, which requires court approval, to conclude the protracted legal battle.
Wall Street Analysts Forecast
Based on the one-year price targets offered by 16 analysts, the average target price for Alphabet Inc (GOOG, Financial) is $215.31 with a high estimate of $234.00 and a low estimate of $190.00. The average target implies an upside of 37.50% from the current price of $156.59. More detailed estimate data can be found on the Alphabet Inc (GOOG) Forecast page.
Based on the consensus recommendation from 21 brokerage firms, Alphabet Inc's (GOOG, Financial) average brokerage recommendation is currently 1.8, indicating "Outperform" status. The rating scale ranges from 1 to 5, where 1 signifies Strong Buy, and 5 denotes Sell.
Based on GuruFocus estimates, the estimated GF Value for Alphabet Inc (GOOG, Financial) in one year is $195.21, suggesting a upside of 24.66% from the current price of $156.59. GF Value is GuruFocus' estimate of the fair value that the stock should be traded at. It is calculated based on the historical multiples the stock has traded at previously, as well as past business growth and the future estimates of the business' performance. More detailed data can be found on the Alphabet Inc (GOOG) Summary page.
