New York time check: It’s 5:03 p.m. ET in New York on Friday, December 26, 2025—and the U.S. stock market has already closed for the day.
Alphabet’s Class C shares (NASDAQ: GOOG) finished the post‑Christmas session near $314.96, down about 0.22% versus the prior close, with trading continuing in the after-hours. In a thin, year‑end market that barely moved at the index level, investors are weighing a familiar Alphabet mix: AI-driven capex and infrastructure buildout, cloud momentum, and regulatory/antitrust headlines—alongside a calendar that now turns quickly toward the next earnings season.
GOOG price snapshot after the close
As of the latest available trade following the close:
- GOOG: ~$314.96
- Day move: -0.22%
- Market cap: ~$2.94 trillion
- P/E: ~23.6 (tool-reported)
Because it’s after 4:00 p.m. ET, any late prints can reflect after-hours liquidity (typically thinner spreads and potentially sharper moves on headlines).
Today’s market backdrop: quiet post-holiday trading, indexes essentially flat
The broader tape offered very little drama—typical for the day after Christmas, when volume is often light:
- The S&P 500 slipped 2.11 points to 6,929.94
- The Dow fell 20.19 points to 48,710.97
- The Nasdaq Composite lost 20.21 points to 23,593.10 [1]
Reuters similarly described markets closing near record levels in a muted session, with traders still watching for a potential “Santa Claus rally” stretch into year‑end and early January. [2]
ETF proxies also showed minimal movement late-day:
- SPY: ~$690.31 (fractional dip)
- QQQ: ~$623.89 (fractional dip)
Why this matters for GOOG: when index moves are tiny, single‑stock narratives (M&A, AI product news, lawsuits, regulation) can stand out more—and year‑end positioning can exaggerate reactions in either direction.
The biggest Alphabet headlines investors are digesting right now
1) Alphabet’s $4.75B Intersect deal: powering AI is now a strategy, not an expense line
One of the most consequential late‑December developments is Alphabet’s agreement to acquire Intersect for $4.75 billion in cash plus assumed debt, adding energy and data‑center infrastructure projects to support Google’s expanding compute needs. [3]
Key points investors are highlighting:
- The acquisition is explicitly tied to powering AI and data center growth, as demand strains U.S. power infrastructure. [4]
- Alphabet says the transaction includes Intersect’s team and “multiple gigawatts” of projects in development or under construction from its existing partnership with Google. [5]
- Reuters reported Intersect has $15 billion of assets operating or under construction and expects projects representing about 10.8 GW online or in development by 2028. [6]
- AP framed the move as part of Alphabet’s attempt to secure the “vast amounts” of electricity needed for AI, while noting community pushback around data‑center power demand and costs. [7]
Stock relevance: Markets increasingly treat AI winners as infrastructure companies too. A deal like Intersect can be read as (a) de‑risking long‑term capacity constraints, but also (b) reinforcing the idea that the AI race demands sustained spending.
2) Google Cloud’s mega security partnership: a deal “approaching $10 billion” with Palo Alto Networks
Alphabet’s cloud unit also landed what a Reuters source described as by far Google Cloud’s largest security services deal, with Palo Alto Networks committing a sum “approaching $10 billion” over several years. [8]
Reuters included notable on‑record comments from executives:
- Google Cloud Chief Revenue Officer Matt Renner: “AI has spawned a tremendous amount of demand for security.” [9]
- Palo Alto President BJ Jenkins described the early stage of AI‑era security shifts and said a sizable portion of the work involves new AI-linked services. [10]
Stock relevance: This supports the bull case that Google Cloud is finding “enterprise gravity” in the AI era—not only for compute, but for the security stack that rides on top of it.
3) Wiz acquisition update: Reuters says DOJ antitrust review cleared (deal still pending)
Alphabet’s proposed acquisition of cybersecurity firm Wiz (reported at about $32 billion) cleared a U.S. Justice Department antitrust review, according to comments from Wiz’s CEO at a WSJ event reported by Reuters. [11]
Reuters emphasized the acquisition is still progressing through approvals in other jurisdictions and is expected to close in 2026 subject to conditions. [12]
Stock relevance: For GOOG investors, the Wiz timeline matters because it would deepen Google Cloud’s security footprint—but also adds deal‑execution and integration risk.
4) AI copyright litigation: a fresh legal front
Reuters also reported a lawsuit filed by New York Times investigative reporter and author John Carreyrou and other writers against multiple AI companies including Google, alleging copyrighted books were used without permission to train AI systems. [13]
Stock relevance: Copyright litigation is becoming a structural risk factor across generative AI. For Alphabet, this is less about one case and more about the broader uncertainty around training data, model outputs, and potential licensing costs.
Antitrust and regulation: the overhang has shifted, not disappeared
Alphabet’s regulatory narrative in 2025 evolved from “breakup risk” to “behavioral remedies and compliance”—but it remains a key valuation input.
Search case: no forced Chrome/Android sale, but data-sharing and contract limits
Reuters reported that a judge rejected forcing Google to sell Chrome or Android, while ordering remedies including data sharing and constraints aimed at opening search competition. [14]
Separately, the U.S. Department of Justice said remedies in the search monopolization case included prohibitions on certain exclusive distribution contracts and orders requiring Google to make certain search index and user‑interaction data available to rivals, and that remedies would reach GenAI technologies as well. [15]
Ad tech case: DOJ says it prevailed in a separate monopolization ruling
In April, DOJ announced it prevailed in an ad tech monopolization case, citing a court finding that Google violated antitrust law in open‑web digital advertising markets. [16]
Investor takeaway: Even where Alphabet avoids structural breakup, behavioral remedies can still affect:
- traffic acquisition costs and distribution economics,
- product bundling strategy (including AI app distribution),
- and compliance burden that can weigh on margins over time.
Fundamentals still matter: ads + cloud + AI capex
Alphabet’s 2025 stock story has been powered by AI optimism, but the market has remained sensitive to the “cost to win” question.
In its most recent reported quarter, Reuters highlighted that Alphabet beat revenue expectations, with Google Cloud revenue up 34% and cloud backlog expanding significantly (Reuters quoted Sundar Pichai citing backlog growth). [17]
At the same time, Reuters noted Alphabet has repeatedly raised capex expectations—an issue that has periodically rattled mega‑cap tech when investors fear AI spending could outrun near‑term returns. [18]
How GOOG investors are framing it now:
- Bull case: Cloud and AI products are scaling; infrastructure control (energy + security) supports durable margins later.
- Bear/caution case: AI is a capital‑intensive arms race; higher spending could compress free cash flow if monetization lags.
Analyst forecasts and price targets: bullish tone, but “upside” looks more selective near $315
Analyst commentary into late December remains broadly constructive, but many targets imply a narrower near‑term runway after a strong year.
Examples of recent coverage:
- Truist raised its price target to $350 and kept a Buy rating (reported by Yahoo Finance). [19]
- TipRanks’ compilation showed an average target around the low-to-mid $300s, implying only modest upside from current levels (as of today). [20]
- Other aggregators similarly show a strong buy/overweight skew, with targets spread widely depending on assumptions around AI monetization and capex. [21]
Important context: Many analyst notes reference GOOGL (Class A), but the targets and theses typically translate closely to GOOG (Class C) because the economic interest is largely the same (the primary difference is voting rights).
Earnings calendar: the next major catalyst is approaching fast
With year-end approaching, the next “hard” date investors are watching is the Q4 earnings window:
- Wall Street Horizon lists Alphabet’s next earnings date as Tuesday, Feb. 3, 2026 (after market), marked unconfirmed/forecasted. [22]
- MarketBeat also estimates Feb. 3, 2026 for the next report (estimated). [23]
What the market is likely to demand on that call:
- Evidence AI features are improving monetization (Search + YouTube + subscriptions).
- Clear capex guidance for 2026 and the expected payoff period.
- Cloud growth durability (and whether security + platform deals are accelerating the pipeline).
The macro setup into next week: Fed minutes, thin liquidity, and a market flirting with 7,000
Reuters’ “Week Ahead” report highlighted that:
- The S&P 500 is about 1% from 7,000,
- investors are focused on the Fed minutes due Tuesday next week,
- and year‑end portfolio adjustments can create volatility in light volume. [24]
Reuters quoted Paul Nolte of Murphy & Sylvest saying “momentum is certainly on the side of the bulls,” while also pointing to the lack of an “exogenous event” as a key caveat. [25]
Reuters also quoted Michael Reynolds (Glenmede) on how the minutes could illuminate the rate debate. [26]
Why GOOG investors should care: mega‑cap tech valuations often re-rate on changes in expected rates, especially when the market is already pricing “near-perfect” execution.
If you’re looking ahead to the next trading session: what to know before Monday’s open
Since it’s after 5 p.m. ET on a Friday, the next regular session is Monday (assuming no special closures). Here are the practical, market-structure realities to keep in mind:
1) After-hours moves can be noisy
GOOG is trading after the close, but liquidity is thinner than regular hours, so price changes can look bigger (or smaller) than they would at midday.
2) Year-end positioning can amplify single-stock reactions
AP and Reuters both emphasized light trading volume in the holiday period. That can magnify reactions to headlines—especially for mega‑caps that are widely held in index and factor strategies. [27]
3) Watch the scheduled macro catalyst: Fed minutes Tuesday (Dec. 30)
Even if you’re focused on Alphabet-specific news, broad-rate expectations can swing tech multiples quickly. [28]
4) Keep a running list of Alphabet-specific “headline risk” buckets
Over the weekend and into Monday, GOOG-sensitive items include:
- updates on the Intersect acquisition narrative (AI power infrastructure), [29]
- any new color on the Palo Alto partnership ramp, [30]
- progress/obstacles for the Wiz acquisition across jurisdictions, [31]
- and any developments in antitrust compliance or appeals. [32]
Bottom line for GOOG stock right now
Alphabet Class C (GOOG) is ending 2025 in a position many mega-cap investors would envy: a multi‑trillion‑dollar franchise, strong cloud momentum, and a market narrative that increasingly treats power, security, and compute as strategic moats—not just costs. [33]
But the stock is also priced like a leader—meaning execution, capex discipline, and regulatory outcomes may matter as much as top-line growth in early 2026. With the market near record highs and trading volumes thin, the next big reset button is likely the Q4 earnings window in early February. [34]
References
1. apnews.com, 2. www.reuters.com, 3. www.reuters.com, 4. www.reuters.com, 5. abc.xyz, 6. www.reuters.com, 7. apnews.com, 8. www.reuters.com, 9. www.reuters.com, 10. www.reuters.com, 11. www.reuters.com, 12. www.reuters.com, 13. www.reuters.com, 14. www.reuters.com, 15. www.justice.gov, 16. www.justice.gov, 17. www.reuters.com, 18. www.reuters.com, 19. finance.yahoo.com, 20. www.tipranks.com, 21. stockanalysis.com, 22. www.wallstreethorizon.com, 23. www.marketbeat.com, 24. www.reuters.com, 25. www.reuters.com, 26. www.reuters.com, 27. apnews.com, 28. www.reuters.com, 29. www.reuters.com, 30. www.reuters.com, 31. www.reuters.com, 32. www.justice.gov, 33. www.reuters.com, 34. www.reuters.com
