Alphabet Stock Soars to Record High as Gemini 3 AI Model Signals Competitive Breakthrough

Alphabet stock surges on Gemini 3 AI model optimism

The new model is an improvement on its predecessor, Gemini 2.5, which Google released about eight months ago. Google said Gemini 3 allows users to get better answers to more complex questions and doesn't need as much prompting to determine the context and intent behind their requests. Gemini 3 will be integrated into Google's search products, the Gemini app and enterprise services. Analysts at D.A. Davidson said in a Tuesday note that they were quickly impressed by Gemini 3, calling it a "genuinely strong model" and "the current state-of-the-art" based on preliminary testing and how it scored against AI benchmarks. "We'd go as far to say that this latest model from [Google DeepMind] meaningfully moves the frontier forward, with capabilities that in certain areas far exceed what we've typically come to expect from this generation of frontier models," the analysts wrote. The firm has a neutral rating on Alphabet shares.

Alphabet (GOOGL) stock jumps over 6% to hit $300 for the first time in history as Gemini 3 powers Alphabet's biggest breakout of the year

Alphabet (GOOGL) stock today: Alphabet (GOOGL) jumped more than 6% to $302.87 and crossed $300 for the first time ever after Google launched Gemini 3. The stock hit an intraday high near $304. Volume reached 23.7 million shares. The market cap stood around $2.94 trillion. Alphabet's 2025 gains are now above 50%. The company reported Q3 revenue of $102 billion, up 16%, with stronger margins. Gemini 3 delivers major advances in reasoning, multimodal inputs, and a 1 million-token window. The model integrates across Search, the Gemini app, Vertex AI, and Google's new Antigravity platform. Alphabet (GOOGL) stock today: Alphabet (GOOGL) surged more than 6% to $302.87, crossing the $300 mark for the first time in its history after Google launched its new Gemini 3 artificial intelligence model. The stock touched an intraday high near $304, supported by heavy trading volume above 23.7 million shares. Its market capitalization hovered around $2.94 trillion. Alphabet has gained over 50% in 2025, driven by strong earnings, rapid AI adoption, and momentum in cloud and autonomous driving divisions. The company recently posted record third-quarter revenue of $102 billion, up 16% year over year, with improved operating margins supported by stable advertising demand and expanding cloud services. Gemini 3 is described as Google's most advanced model, offering major improvements in reasoning, multimodal capabilities, and autonomous task handling, with a context window of up to one million tokens. The model outperforms earlier versions and integrates into Google Search, the Gemini app, developer tools, Vertex AI, and the new agentic platform Google Antigravity, enabling dynamic visualizations and real-time AI interactions. The launch is also backed by expanded safety evaluations designed to reduce misuse risks and strengthen reliability. Investors are watching how quickly Gemini 3 scales across consumer and enterprise products as it becomes available to Pro, Ultra, and enterprise users. Google introduced Gemini 3 with major upgrades in reasoning, multimodal intelligence, and autonomous task execution. The launch includes Gemini 3 Pro, which outperforms Gemini 2.5 Pro across critical AI benchmarks. Google also revealed Deep Think mode, designed for complex long-form reasoning and advanced decision-making. The model features a 1 million-token context window, enabling broader and more accurate understanding of text, images, and videos. Gemini 3 is now integrated across Google Search, the Gemini app, developer platforms, and Google's new agentic environment, Google Antigravity. Users can generate richer visual content, dynamic layouts, and interactive tools in real time. Google highlighted new safety systems, including stronger defenses against prompt injections and misuse, making Gemini 3 its "most secure AI release" yet. Alphabet's stock has gained more than 50% in 2025, supported by rapid advancements in AI and solid performance across advertising, cloud, and autonomous driving operations. The company recently reported record third-quarter revenue of $102 billion, up 16% year over year, with improved operating margins. Advertising demand remained strong while Google Cloud continued to expand, benefiting from rising enterprise AI adoption. Key fundamentals also remain healthy. Alphabet's trailing earnings per share stand at $10.13, and its price-to-earnings ratio sits near 23.66, signaling robust profitability relative to its historical range. The stock also moved above its previous 52-week high of $293.95, reinforcing strong momentum heading into the final quarter of the year. Shareholders are watching how quickly Google can scale Gemini 3 across its consumer and enterprise products. The model is now available to Google AI Pro, Ultra subscribers, developers through the Gemini API, and enterprise users on Vertex AI. Broader access through Google Search and the Gemini app is expected to accelerate adoption. However, analysts note the need to monitor regulatory developments in the U.S. and Europe, where AI governance and antitrust scrutiny are growing. Despite those risks, Alphabet's expanding AI ecosystem, strong earnings base, and leadership in cloud and digital advertising continue to support its position as one of the most influential technology companies in the world. (You can now subscribe to our Economic Times WhatsApp channel)

Why Alphabet Stock Climbed to an All-Time High Today | The Motley Fool

In a blog post, CEO Sundar Pichai marveled at the staggering scale of the company's artificial intelligence (AI) initiatives. Google's AI Overviews search offering already has 2 billion monthly users. Its Gemini AI assistant app has over 650 million monthly users. Over 70% of Google's cloud computing customers use its AI services. And 13 million developers are building products with its generative AI models. "And that is just a snippet of the impact we're seeing," Pichai said. Judging by the impressive specs of its newest model, Alphabet's standing in the AI race is about to improve even further. Gemini 3 is Alphabet's most intelligent AI model. It's designed to quickly synthesize information across text, images, video, audio, and code. Gemini 3 offers state-of-the-art reasoning that's better at understanding the context around a user's request with less prompting. It significantly outperforms Alphabet's previous models on every benchmark, such as mathematics, scientific knowledge, coding, and factual accuracy. Alphabet's latest model is also designed to deliver responses more directly and concisely, without the clichés and flattery that have annoyed users of other leading models. Alphabet is making these new tools available today in its search browser's AI Mode, Gemini app, and developer platforms.

Gemini 3 launch could shift Alphabet sentiment toward AI-winner status: Mizuho By Investing.com

Investing.com -- Investor anxiety over OpenAI's competitive threat across the internet space has dominated investor debates recently, but Mizuho argues the narrative around Alphabet may be poised for a recalibration as Google prepares to roll out its next major AI model. The firm's analysts believe the "imminent roll-out of Gemini 3 could further tilt the sentiment for Alphabet shares towards AI-winner, at least near term," helped by a stabilizing trend in Google's search activity and rising engagement with its own AI tools. Mizuho notes that browser-based usage data shows ChatGPT's momentum has cooled since the spring, with time spent per user decelerating across both desktop and mobile. App engagement has also moderated, while global downloads are on track for another month of decline, according to third-party analytics cited in the report. Against that backdrop, Gemini appears to be gaining ground, analysts said, with traffic and token-processing trends pointing to expanding usage across Google's ecosystem. They also highlight that AI-assistant market share has shifted meaningfully since late 2024, with the combined share of GPT and Gemini rising from 7% to 13% -- and more recent gains skewing toward Gemini as Google's tools attract increasing engagement. "The trend indicates broad usage of Google AI products across Search, Gemini, and other channels, which has grown, and could continue growing exponentially driven by Google's product ecosystem and as a whole, compete effectively with OpenAI," Mizuho analysts led by Lloyd Walmsley wrote. Google's AI Mode in Search helped return search traffic growth to positive territory in July, supporting early signs that Alphabet's defensive strategy is working. Recent data also shows Gemini's browser share rising, even as ChatGPT's gains slow. Analysts said that "Google's AI product likely gets the most access through AI Mode in core search," making it a key component in stemming query losses to AI assistants. Gemini 3 is expected to deliver significant upgrades in multimodality, reasoning, and automation. Mizuho points to anticipated real-time video understanding, deeper context windows, and a new default reasoning mode, alongside tighter Workspace integration and an "Agent Mode" capable of executing browser-level tasks. Developer chatter also hints at on-device AI and enhanced pairing with Google's Veo 3.1 for video creation. Analysts believe these improvements could help close the gap with OpenAI or even shift leadership in areas such as enterprise automation. While uncertainty remains around long-term competitive dynamics, the team sees scope for overhangs to ease as Alphabet rolls out its own AI advancements. "In the near term, our bias is to think that Google continues to benefit on the core business fundamentals from AI and rolls out impressive AI product of its own - most imminently Gemini 3 - that continues to swing the pendulum more towards AI winner and less towards AI loser," the analysts wrote.

Alphabet stock up thanks to launch of its new AI model, Gemini 3

The Alphabet stock has risen almost 4% today following the launch of Gemini 3, Google's latest artificial intelligence model. Successor to Gemini 2.5 launched eight months ago, this new model is touted as more capable, able to understand complex queries with fewer prompts and provide more precise responses. It will be deployed across Google's search services, the Gemini app, and enterprise-oriented tools. Analysts praise Google DeepMind's progress while maintaining a cautious stance on the stock. Bank of America Securities, for example, speaks of meaningful progress that helps Google close the ?perceived gap? with competitors such as OpenAI and Anthropic, while maintaining a Buy rating on the Alphabet stock.