Analyst Names Alphabet Top Pick Ahead Of Cloud Next 2026

JPMorgan analyst Doug Anmuth reiterated an Overweight rating on Alphabet (GOOG.OQ) and named it a “Top Pick,” issuing a $395 price target ahead of the Google Cloud Next conference. The note highlights Google Cloud’s growing strategic importance — JPMorgan forecasts Cloud at ~19% of revenue in 2026 and models margin expansion (Cloud operating margin ~27.9% in 2026) as AI-driven “Agentic Cloud” products increase customer stickiness. The bank pointed to a 160% YoY jump in Cloud backlog to $240 billion (late 2025) and cited heavy capex guidance ($175–$185 billion for 2026) and recent acquisitions (Wiz ~$32B, Intersect Power ~$4.75B) as supporting longer-term growth. Shares showed a minor decline (~0.86%) intraday. Overall, the research note is bullish for Alphabet, framing Cloud momentum and strategic M&A/capex as drivers for revenue and margin upside around the Cloud Next event.