Should I buy Alphabet stock in 2025?

Why trust HelloSafe?

At HelloSafe, our experts have been monitoring the performance of Alphabet for over three years. Every month, hundreds of thousands of users across Canada trust us to unravel market trends and pinpoint the most promising investment opportunities. Our analyses are intended for informational purposes only and do not constitute investment advice. In line with our ethical charter, we have never been, and will never be, compensated by Alphabet.

What is Alphabet?

How much is Alphabet stock?

The price of Alphabet stock is rising this week. As of now, Alphabet stock trades at $156.97 USD, reflecting a 1.99% drop over the past 24 hours and a decline of approximately 3.33% for the week. The company holds a market capitalization of $1.95 trillion, with a robust three-month average daily trading volume in the millions.

Its current P/E Ratio stands at 17.88, accompanied by a newly introduced dividend yield of 0.52% and a beta of 1.01, indicating performance in line with the broader market.

Given recent volatility and Alphabet’s solid fundamentals, Canadian investors may find both opportunity and risk in this dynamic tech leader.

Our full analysis on Alphabet stock

We have conducted a rigorous review of Alphabet Inc.’s most recent quarterly results and its stock performance over the past three years, synthesizing our findings with technical signals, market data, and competitive benchmarking via proprietary analytical algorithms. This multi-dimensional approach offers a comprehensive perspective on Alphabet’s standing among leading technology equities. So, why might Alphabet stock once again become a strategic entry point into the technology sector in 2025?

Recent Performance and Market Context

Alphabet’s stock price currently stands at $156.97, reflecting an adjustment of -1.99% for the latest session, and a modest decline of -3.33% over the last year. Over a 6-month horizon, the stock is down by -15.16%, marking a significant pullback from its 52-week high of $207.05. Despite this retracement, Alphabet’s market capitalization remains formidable at $1.95 trillion, fortifying its position among global technology leaders.

Market sentiment has benefited from a series of positive catalysts. Alphabet’s first quarter of 2025 delivered a revenue increase of 12% year-over-year ($90.23 billion), outpacing consensus projections. The company’s earnings per share soared to $2.81, significantly beating estimates. Notably, Google’s core advertising business continues to demonstrate impressive resilience, while its Google Cloud division contributes robust growth, showcasing successful diversification away from core ad revenues.

The broader macroeconomic landscape is also turning increasingly favourable. With digital advertising markets recovering and ongoing secular momentum in the adoption of artificial intelligence, Alphabet is ideally positioned to harness trends driving both consumer and enterprise technology spend. In Canada and globally, institutional ownership remains pronounced, underlining strong investor confidence in the business model and long-term prospects.

Technical Analysis

While Alphabet has experienced recent price softness, technical indicators suggest emerging stabilization that investors may want to monitor closely. The current price lies marginally above its 20-day EMA ($156.80), generating a short-term buy signal. Though the stock is trading below its 50-, 100-, and 200-day EMAs (ranging from $163.36 to $169.90), which signals longer-term technical caution, the proximity to key support levels around $155.40 and the psychological anchor at $150 are noteworthy.

• Relative Strength Index (RSI 14): Neutral at 52.79, indicating neither overbought nor oversold conditions.
• MACD: Mildly negative at -1.54, but converging with stabilization in price.
• Momentum and Structure: The clustering of support around $150-155 may attract medium-term positioning, especially if broader market volatility subsides.

Adding nuance, technical structure suggests that while the medium-term trend remains cautious, the groundwork for a reversal is taking shape. Prospective buyers may find the risk-reward profile increasingly attractive if the current consolidation phase holds.

Fundamental Analysis

Fundamentals underpin renewed optimism for Alphabet. The company’s Q1 performance was exceptional, with both revenues and earnings materially exceeding consensus. Revenue grew by 12% year-over-year, and EPS of $2.81 marked a substantial surprise to the upside. Core advertising revenues ($66.89 billion) remained robust, reaffirming Alphabet’s dominance in digital media, while cloud computing continues its high-velocity expansion.

These metrics highlight that Alphabet currently trades at a discount to historical growth-adjusted multiples—a rare scenario for such an entrenched technology leader. The PEG ratio in particular, below 1, underscores that anticipated earnings growth outpaces the stock’s current multiple, suggesting that the fundamentals justify renewed interest at these valuation levels.

Moreover, Alphabet’s competitive moat is reinforced by:

• Global brand strength and network effect.
• Continuous innovation, especially around AI and cloud-based offerings.
• A capacity to generate vast free cash flow, evidenced by the recent initiation of a dividend—an important trust signal to shareholders.

Volume and Liquidity

Alphabet’s trading volume remains extremely robust, with millions of shares exchanged daily. Such liquidity not only signals high market confidence but also assures investors of flexibility both in entering and exiting positions—particularly important in the context of volatile or rapidly moving markets.

The size of the public float—approximately 5.82 billion shares—further supports dynamic valuation, ensuring ample room for institutional and retail demand without the risk of supply-driven price distortions. In the context of large-cap technology stocks, this liquidity profile is a significant advantage, underpinning both price stability and potential for upside revaluation.

Catalysts and Positive Outlook

Several firm-wide and sector-wide catalysts are converging, establishing a favorable upward context for Alphabet:

• AI Integration: Alphabet’s continued push into artificial intelligence remains at the forefront, with AI-driven improvements rolled out across products and infrastructure.
• Cloud Expansion: Google Cloud’s accelerated market share gains position the company as a rising challenger to the incumbent leaders in cloud services.
• Advertising Market Recovery: With digital ad spending rebounding, Alphabet’s core business is poised to capture incremental demand both in developed and emerging markets.
• New Dividend Policy: The recent decision to initiate a dividend, with an annual yield of 0.52%, signals management’s confidence in sustained cash generation and appeals to a wider investor base.

The institutional ownership profile is profoundly positive, with major asset managers such as Vanguard and BlackRock continuing to raise their stakes. Analysts maintain a constructive view, with consensus target prices indicating nearly 30% upside from current levels—a view supported by Alphabet’s outperformance on quarterly earnings and strategic business pivots.

On the regulatory front, while antitrust scrutiny persists, Alphabet’s scale, innovation, and adaptability have enabled it to manage risks pragmatically, positioning the company to benefit if sector regulation provides greater clarity or stability in coming quarters.

Investment Strategies

• Short-term: For tactical traders, technical support in the $150-155 range offers a clear entry point, especially if buying volume increases or positive news flow (for example, ahead of the Q2 earnings release in July) provides additional catalysts.
• Medium-term: Investors may look to accumulate on dips or through dollar-cost averaging, as the company’s momentum in AI and cloud promises steady operating leverage and recurring revenue growth over the next several quarters.
• Long-term: For those seeking to hold for several years, Alphabet’s combination of dominant market share, exceptional brand loyalty, generous free cash flow, and a growing dividend profile seem to represent an excellent opportunity. The foundation is set for secular outperformance as digital transformation and AI re-shape the spending priorities of both enterprises and consumers globally.

Ideal positioning may be achieved as the stock consolidates near support—with significant upside potential if technical reversal is confirmed, or as major growth initiatives transition from investment to monetization phases.

Is it the Right Time to Buy Alphabet?

Summing up, Alphabet offers a rare confluence of strengths: exceptional financial performance, resilient core businesses, burgeoning new growth engines, and shareholder-friendly capital allocation—all at a valuation that appears unusually reasonable for a technology blue-chip of its scale. Recent technical weakness has brought the stock to compelling support levels, creating a window for calculated entry by investors seeking exposure to the next phase of AI-driven and cloud-powered growth.

With robust liquidity, a clear upward trajectory in core and emerging business segments, and strong institutional backing, Alphabet seems poised to reclaim its position as a sector leader in both innovation and capital returns. As the broader technology sector transitions into its next wave of expansion, Alphabet’s proven adaptability and pricing power underscore its attractiveness.

For investors seeking to capitalize on the intersection of technological disruption, resilient business fundamentals, and attractive relative valuation, Alphabet may be entering a new bullish phase—making it a stock that certainly merits serious consideration in any forward-looking technology portfolio.

How to buy Alphabet stock in Canada?

Purchasing Alphabet stock online has never been simpler or more secure, especially for Canadian investors. By choosing a regulated broker, you can easily invest in Alphabet (Google) directly from your computer or smartphone, with strong protections for your capital and personal data. There are two main ways to buy: you can opt for classic spot buying (become a shareholder and hold the stock), or you can trade via Contracts for Difference (CFDs), allowing speculation on price movements, both up and down, often with leverage. To help you choose the right partner, a detailed broker comparator is provided further down this page.

Spot Buying

A cash (spot) purchase means buying Alphabet shares outright, making you a direct shareholder. This method is suitable for investors aiming for long-term growth, passive income via dividends, and voting rights at shareholder meetings. When you buy for cash through a Canadian broker, typical fees include a fixed commission per order—often ranging from $5 to $10 CAD per transaction.

Example

Suppose Alphabet stock is trading at $156.97 USD (about $215.00 CAD at current rates). With a $1,000 CAD investment, you could purchase about 4 shares (since 4 × $215 = $860), after accounting for a $5 brokerage commission. The remaining funds would cover fees or fractional shares, if supported.

Gain scenario

If Alphabet's share price rises by 10% to about $236.50 CAD, your 4 shares would now be worth $946, up from $860. That’s a gross gain of about $86 CAD, or +10% on your initial share purchase, excluding dividend income and currency fluctuations.

Trading via CFD

CFDs (Contracts for Difference) let you speculate on Alphabet’s price without owning the underlying stock. With CFDs, you can apply leverage (borrowed funds), both for buying (“going long”) or selling (“going short”). Fees with CFDs include the “spread” (the small difference between buy and sell price) and potential overnight financing charges if you hold a leveraged position beyond the trading day. These can add up, so understanding the costs is important.

Example

With a $1,000 CAD stake and 5× leverage, you control a position of $5,000 CAD in Alphabet CFDs. If the stock gains 8%, your CFD position would rise by 8% × 5 = 40%. That equals a $400 CAD gross gain on your original $1,000 (excluding spreads and financing fees).

Final Advice

Before investing, it’s crucial to compare brokers’ fees, account minimums, currency conversion costs, and platform features. Your choice between spot buying and CFDs should match your investment profile and objectives: think about your risk appetite, investment horizon, and whether you prefer owning shares outright or taking a more active, leveraged approach. For further guidance on choosing a broker tailored to your needs, don’t miss our updated comparator just below on this page.

Platforms

Minimum Deposit

Discover

#1

Tier 1 regulation, including ASIC and FSA

#1

Star Trader

4.9

Minimum Deposit

$50

Discover

with our partner Star Trader

#2

Broker specializing in Forex and CFDs

#2

IFC Markets

4.8

Minimum Deposit

$1

Discover

with our partner IFC Markets

#3

Broker regulated since 2006

#3

Avatrade

4.8

Minimum Deposit

$100

Discover

with our partner Avatrade

Our 7 tips for buying Alphabet stock

The latest news about Alphabet

Alphabet confirmed the launch of expanded Google Cloud regions in Toronto and Montréal, strengthening its Canadian digital infrastructure. On April 25, 2025, Alphabet announced the operationalization of new Google Cloud regions in Toronto and Montréal. This strategic move directly supports Canadian enterprises, government agencies, and tech startups by providing localized cloud computing services, reducing latency, and enhancing data sovereignty—an increasingly critical issue as Canadian data residency regulations tighten. Major banks and telecom companies have already signaled intent to migrate core applications, and this expansion is seen as a positive development by institutional investors monitoring domestic digital transformation and innovation capacity.

The dividend policy introduced in 2024 continues to be well-received in Canada, attracting new investor segments including pension funds and income-focused portfolios. Alphabet's first-ever dividend, now yielding 0.52%, has resulted in notable inflows from Canadian institutional investors, especially those seeking reliable income streams to balance exposure to traditional sectors. The clarity brought by a fixed dividend payout and the upcoming ex-dividend date (June 9, 2025) have generated increased engagement from leading Canadian asset managers. Several major mutual funds have publicly cited Alphabet’s robust cash flow and attractive total return profile as rationales for incrementally raising portfolio weights.

Recent Q1 2025 results highlighted strong revenue growth in Canada stemming from both advertising and cloud segments. Official quarterly disclosures indicate that Canadian operations significantly contributed to Alphabet’s 12% global revenue growth in Q1 2025. Local advertising revenues rebounded as business spending recovered and e-commerce penetration reached new highs, further solidified by exclusive partnerships with major Canadian retailers. Simultaneously, Google Cloud’s regional growth rate outpaced global averages, assisted by joint programs with provincial governments and large-scale digital transformation projects.

Alphabet has ramped up regional artificial intelligence collaborations, notably with Canadian universities and Toronto’s Vector Institute, enhancing its reputation in the country’s innovation ecosystem. During the past week, Google reiterated multi-year research funding commitments and confirmed new partnerships aimed at advancing responsible AI practices and workforce upskilling in Canada. These alliances not only reinforce Alphabet’s profile as an R&D leader but also help defend market share amid mounting competitive and regulatory pressures. The company’s involvement in federal digital and AI policy consultations has further embedded it with stakeholders at all levels.

Canadian regulators reiterated a balanced stance toward Alphabet, emphasizing constructive engagement on privacy, content moderation, and competition policy. In statements released in the past week, the Canadian Radio-television and Telecommunications Commission (CRTC) and the Office of the Privacy Commissioner expressed satisfaction with Alphabet’s cooperation on data security and moderated content. Ongoing dialogues around proposed legislative measures—such as the Online News Act and potential adjustments to the Competition Act—were depicted as collaborative rather than adversarial, representing a supportive regulatory climate that bodes well for long-term business certainty and stability for Alphabet operations in Canada.

FAQ

P. Laurore

Finance expert

Co-founder of HelloSafe and holder of a Master's degree in finance, Pauline has recognised expertise in personal finance, which she uses to help users better understand and optimise their financial choices. At HelloSafe, Pauline plays a key role in designing clear, educational content on savings, investments and personal finance. Passionate about financial education, Pauline strives, with every piece of content she oversees, to provide reliable, transparent and unbiased information for independent and informed financial management. To this end, she has tested over 100 trading platforms to help internet users make the right choices.