The New Google Is Here, And Wall Street Is Hot And Heavy

• Shares of Alphabet Inc GOOG surged to new 52-week highs of $730.00 Friday morning.
• Alphabet reported a top and bottom line beat in its third quarter results.
• Analysts for the most part maintained a bullish stance following the print.

Shares of Alphabet surged to new 52-week highs of $730.00 Friday morning after the company reported a better than expected third quarter results on Thursday. Here is a summary of what Wall Street's top analysts were saying following the print. Deutsche Bank: ‘Evidence' Of The ‘New Google' Ross Sandler of Deutsche Bank commented in a note that Google's "solid" third quarter results were driven by a 21 percent (ex-foreign exchange) jump in revenue in mobile search and YouTube. Websites revenue rose 26 percent (ex-foreign exchange) which led to a "big acceleration" in the US and UK. Sandler continued that the "rule of 50 percent mobile" is "kicking in" and this is a "truly astonishing feat" for a company of Google's size. In addition, the tone from the analyst conference call was "upbeat" and Ruth Porat's leadership as CFO is "making her mark" by convincing the Board of Directors to authorize a $5.1 billion share repurchase program. Sandler also added that "ascendancy" of Sundar Pichai is "starting to buy major dividends" at a time when the entire business is "inflecting higher." Finally, Sandler argued that Alphabet's management "appears eager" to drive its stock higher to ensure retention and motivation. Shares remain Buy rated with a price target raised to $900 from a previous $840. Macquarie: Q3 Signals Positively Ben Schachter of Macquarie Capital commented in a note that Alphabet's buyback program is "yet another clear indication" that the company is focused on all of its key stakeholders, including investors. Accordingly, investors should "cheer" the buyback, along with the company's "significantly" better than expected revenue growth. Schachter continued that Alphabet's fundamental business "remains solid" but he still has concerns over the competitive position of core search. Nevertheless, the company's revenue growth that was demonstrated in the quarter is "reassuring." Finally, Schachter stated that with new disclosures set to be implemented in the fourth quarter, investors will be in a better position to value core Google. As such, the analyst sees the potential for shares to move higher with "limited downside" in the near term. Shares remain Outperform rated with a price target raised to $770 from a previous $750. Goldman Sachs: ‘As Easy As 1-2-3' Heather Bellini of Goldman Sachs commented in a note that as expected mobile search and YouTube drove the outperformance seen in the third quarter. Bellini continued that mobile strength was driven by ad format improvements, while traction with TrueView ads and Google Preferred boosted YouTube's results as advertisers "increasingly migrate" a larger portion of their TV ad budget. Bellini added that Alphabet's share buyback announcement "came sooner than expected" and she is "encouraged" that the company will begin disclosing capex, revenue, and profitability data with its segment reporting for its Google business and "Other Bets" segments. Shares remain Buy rated with a price target raised to $850 from a previous $800. Elsewhere On The Street Analysts at Baird maintained an Outperform rating with an unchanged $780 price target. Analysts at B. Riley maintained a Buy rating with a price target raised to $853 from a previous $778. Analysts at Jefferies maintained a Buy rating with a price target raised to $900 from a previous $800. Analysts at Morgan Stanley maintained an Overweight rating with an unchanged $820 price target. Analysts at Nomura maintained a Buy rating with a price target raised to $875 from a previous $800. Analysts at Pacific Crest maintained an Overweight rating with a price target raised to $820 from a previous $745. Analysts at Stifel maintained a Buy rating with a price target raised to $900 from a previous $850. Analysts at SunTrust Robinson Humphrey maintained a Buy rating with a price target raised to $850 from a previous $770.