Alphabet Stock (GOOGL) Surges in Pre-Market: Here’s Why Traders Are Buzzing

Google's parent company is flexing its muscles again—GOOGL shares are climbing before the bell, and Wall Street's scrambling to keep up.

What's fueling the rally? While the usual suspects (AI hype, ad revenue whispers) are in play, this move feels like classic big-tech momentum trading. After all, when the FAANGs wake up hungry, markets tend to feed them.

Bonus jab: Funny how 'disruptive innovation' now means 'please don't regulate our cash cows.'

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What Buffett’s Investment Means for GOOGL Investors

Berkshire Hathaway’s Q3 2025 regulatory filing reveals a new stake of 17.85 million Alphabet shares, worth roughly $4.3 billion. This represents 1.6% of Berkshire’s total portfolio.

For investors, Warren Buffett’s investment in Alphabet signals strong confidence in GOOGL’s long-term fundamentals. It further highlights the company’s robust free cash flow, dominant digital advertising business, growing cloud segment, and emerging AI capabilities. Additionally, Berkshire’s move suggests that even amid concerns of an AI-driven stock bubble, Alphabet’s durable economics and competitive position make it a solid long-term holding.

A Shift in Berkshire Strategy

Buffett has mostly steered clear of technology stocks, preferring cash-steady, durable businesses. However, this move marks a notable shift for Berkshire, which has historically focused on banking, energy, and insurance. Buffett has also acknowledged missing early opportunities in tech giants like Google, making this investment particularly significant.

Recently, the tech giant’s strong Q3 results boosted its performance. The company’s earnings per share came in at $2.87, surpassing analysts’ estimate of $2.26. Meanwhile, revenue ROSE 16% to $102.35 billion, also exceeding expectations of $99.94 billion. The impressive performance may have reinforced Buffett’s investment, signaling confidence in the company’s long-term fundamentals and growth potential.

Is Google Stock a Buy?

According to TipRanks, GOOGL stock has received a Strong Buy consensus rating, with 30 Buys and seven Holds assigned in the last three months. The average GOOGL stock price target stands at $312.29, implying a 12.98% upside from the current price.