JPMorgan Bullish on 'MAG7' Tech Group, Expects Strong Revenue Growth for Internet Sector in 2026

Alphabet Inc. (NASDAQ:GOOG) is one of the best Reddit stocks to invest in right now. On December 12, JPMorgan raised the firm’s price target on Alphabet to $385 from $340, while maintaining an Overweight rating on the shares. The firm maintains a positive outlook on the MAG7 group as it moves into 2026, anticipating another solid year of revenue growth for the internet sector.

Earlier in Q3 2025, Alphabet recorded its first-ever $100 billion quarter. Total revenue for the quarter reached $102.3 billion, which marked a 16% increase year-over-year. The company’s net income rose by 33% to $35 billion, resulting in an EPS of $2.87, which was a 35% increase year-over-year.

The company’s growth was fueled by core segments and investments in AI. Google Services revenue increased 14% year-over-year to $87.1 billion. Google Cloud was the fastest-growing segment, with revenue of $15.2 billion, marking a 34% increase. YouTube Advertising revenue also saw solid growth, up 15% year-over-year to $10.3 billion. YouTube is pursuing a twin-engine monetization strategy, with both advertising and subscription services showing strong growth.

Alphabet Inc. (NASDAQ:GOOG) offers various products and platforms in the US, Europe, the Middle East, Africa, the Asia-Pacific, Canada, and Latin America. It operates through Google Services, Google Cloud, and Other Bets segments.

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Disclosure: None. This article is originally published at Insider Monkey.