Alphabet’s stock experienced its most significant surge in two months following overwhelmingly positive reviews of its newly unveiled Gemini artificial intelligence model. The positive reception has bolstered investor confidence in the company’s standing within the rapidly evolving technology sector. Shares of the Google parent company climbed as much as 6.9 per cent, marking the most substantial increase since early September, and reaching a new record high.
On Tuesday, Alphabet launched the latest iteration of its Gemini AI model, which was quickly met with high praise for its capabilities. This strong reception contrasts with the mixed reactions received by OpenAI’s GPT-5 model upon its release earlier this year. Robert W. Baird & Co. analyst Colin Sebastian noted the ‘rave reviews’ in a client note, questioning if Gemini 3 is what GPT-5 was expected to be. Alphabet is a multinational technology conglomerate that focuses on search engine technology, online advertising, cloud computing, software and hardware. The company is best known for its Google search engine, which is the most popular search engine in the world.
Sebastian also highlighted Google’s combination of real-time web indexing with advanced model training as a ‘key competitive advantage,’ anticipating benefits for search engagement and monetisation. Loop Capital had earlier upgraded Alphabet stock to ‘buy’, indicating that previous concerns had been overshadowed by enthusiasm for AI.
Adding to the positive momentum, Berkshire Hathaway, led by Warren Buffett, disclosed late last week that it had acquired a stake in Alphabet during the third quarter, representing a notable endorsement for the tech giant.
