Alphabet’s Google stock (NASDAQ: GOOG) is in the spotlight after crashing 13% on October 29, 2026, and went straight from $322 to $282 erasing nearly 40 points in a single trading session. The crash came following the Q3 earnings release on October 28, 2026, marking the worst single-day drop in Alphabet’s history since it went public in 2004. The drop highlighted a massive shift on Wall Street, where investors have stopped rewarding AI spending. Things got serious after Alphabet executives admitted during the earnings call that Google was struggling to effectively monetize its new “AI mode” search results.

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Why Bank of America is Bullish on Google Stock

Bank of America Securities analyst Justin Post has given Google stock a buy rating on October 30, 2026. He wrote in a note to clients, arguing that the 13% crash was a “massive overreaction” from Wall Street. He called the stock “undervalued” at this range and outlined key reasons why investors should look past the Q3 earnings. The analyst urged institutional clients to buy the dip, suggesting that buying GOOG below $300 is beneficial.

Justin Post explained that the market panic is over “AI Overviews” that can dilute traditional search traffic and click-through rates. He noted that Google has successfully navigated every major technological transition it has faced. He expressed strong confidence that Alphabet will successfully monetize its massive AI traffic in the next quarters. When that happens, Google stock could surge in value, and not remain at the $282 range. The Bank of America Securities analyst has predicted that Google stock could reach a target of $380.

The $380 target for Google stock implies that the equity could surge 37% in value next. That’s an uptick and return on investment (ROI)of double digits if the forecast turns out to be accurate. Therefore, an investment of $1,000 could turn into $1,370 if the Bank of America Securities’ target is met. This makes Google stock a must-watch, as the upside potential is immense. Taking an entry position in the $278 range and holding on for the long term is beneficial.

Alphabet’s Google stock (NASDAQ: GOOG) crashed on Thursday, falling 40 points and shedding nearly 13% on heavy selling. GOOG plummeted to $282 and is now trading close to its March 2026 lows of $273. The search giant fell to this level when the war between the US and Israel broke out in March this year. On the heels of the dramatic crash, 5 leading Wall Street firms have cut Google stock’s price target.

Leading Wall Street financial firms are turning bearish and cautious on Google stock. Fears of an AI bubble are high after the company’s $9 billion cash burn. Many analysts also labeled the crash as “Alphabet’s worst day ever.” To add salt to the wound, Bank of America reiterated its valuation of Google search at a lower multiple than fossil fuel stocks. Thursday’s crash wiped out nearly $500 billion in market value, and all focus is now on GOOG.

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Google Stock: Wall Street Firms Lower Price Target

Five Wall Street firms that lowered Google stock price targets are JP Morgan, DA Davidson, Truist Financial, Wedbush, and Susquehanna. Below is the list of how much they have lowered their target price for GOOG.

JP Morgan: Cuts Google stock price target by $50. Analyst Doug Anmuth’s previous target for GOOG was $425. He has lowered it to $375 after the crash.

DA Davidson: The five-star-rated analyst Gil Luria has also cut Google’s stock price target by $50. The previous target by the analyst was $350, and he has cut it down to $300.

Wedbush: Analyst Ygal Arounian has lowered GOOG’s target by $58. His previous target was $445 and chopped it down to $387.

Truist Financial: Strategist Youssef Squali is the only one to lower GOOG target by $10. He had given it a target of $420 previously, but lowered it to $410 now.

Susquehanna: Analyst Shyam Patil cut GOOG the highest with a reduction of $60. His previous target for GOOG was $460 and is now $400.