Alphabet Inc. (NASDAQ:GOOG) price target upgrade

Alphabet Inc. (NASDAQ:GOOG) price target upgrade

Alphabet Inc. (NASDAQ:GOOG) price target upgrade

Morgan Stanley analyst Brian Nowak told clients in a research note Wednesday, that his team had raised its 12-month price target on Google shares to $1,515 from $1,325, the highest target on Wall Street. The rating remains at ‘overweight’.

Nowak’s price target upgrade was mainly focused on the lack of value currently ascribed to its autonomous driving business, Waymo.

“We see the launch of Waymo’s ride-hailing service by year-end as a potential catalyst for value realization,” Nowak said in his client note. “We believe current Alphabet valuation ascribes little value for Waymo, implying it is still a call option.”

Morgan Stanley currently values Waymo at $45 billion, but Nowak said there is a possibility that it’s value could rise to as high as $175 billion.

“As Waymo grows, we see investors putting a higher success likelihood and value on the asset,” Nowak wrote. “Every 10 percent realization of our total potential Waymo value translates to about $25 per share.”

Overall, the bias in prices is: Upwards.

Note: this chart shows extraordinary price action to the upside.

The projected upper bound is: 1,284.55.

The projected lower bound is: 1,196.46.

The projected closing price is: 1,240.51.

Candlesticks

A black body occurred (because prices closed lower than they opened).
During the past 10 bars, there have been 5 white candles and 5 black candles. During the past 50 bars, there have been 21 white candles and 29 black candles for a net of 8 black candles.

Momentum Indicators

Momentum is a general term used to describe the speed at which prices move over a given time period. Generally, changes in momentum tend to lead to changes in prices. This expert shows the current values of four popular momentum indicators.

Stochastic Oscillator

One method of interpreting the Stochastic Oscillator is looking for overbought areas (above 80) and oversold areas (below 20). The Stochastic Oscillator is 79.8130. This is not an overbought or oversold reading. The last signal was a sell 0 period(s) ago.

Relative Strength Index (RSI)

The RSI shows overbought (above 70) and oversold (below 30) areas. The current value of the RSI is 57.43. This is not a topping or bottoming area. A buy or sell signal is generated when the RSI moves out of an overbought/oversold area. The last signal was a sell 24 period(s) ago.

Commodity Channel Index (CCI)

The CCI shows overbought (above 100) and oversold (below -100) areas. The current value of the CCI is 90. This is not a topping or bottoming area. The last signal was a sell 0 period(s) ago.

MACD

The Moving Average Convergence/Divergence indicator (MACD) gives signals when it crosses its 9 period signal line. The last signal was a buy 1 period(s) ago.

Rex Takasugi – TD Profile

ALPHABET INC C closed down -10.180 at 1,239.120. Volume was 8% below average (neutral) and Bollinger Bands were 36% narrower than normal.

Open High Low Close Volume___
1,244.2301,253.6351,232.5901,239.120 1,331,439

Technical Outlook
Short Term: Neutral
Intermediate Term: Bearish
Long Term: Bullish

Moving Averages: 10-period 50-period 200-period
Close: 1,220.51 1,196.04 1,108.32
Volatility: 18 24 29
Volume: 1,139,384 1,378,168 1,619,954

Short-term traders should pay closer attention to buy/sell arrows while intermediate/long-term traders should place greater emphasis on the Bullish or Bearish trend reflected in the lower ribbon.

Summary

ALPHABET INC C is currently 11.8% above its 200-period moving average and is in an downward trend. Volatility is relatively normal as compared to the average volatility over the last 10 periods. Our volume indicators reflect volume flowing into and out of GOOG.O at a relatively equal pace (neutral). Our trend forecasting oscillators are currently bearish on GOOG.O and have had this outlook for the last 6 periods.

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