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One Magnificent Seven Stock Could Deliver Outsized Returns. Here's the Math

The 24/7 Wall St. model sets a 12-month price target of $421.17 for Alphabet (GOOG), implying 34.05% upside from a $314.19 baseline, with a 70% confidence score. Cloud revenue rose 82% to $24.8 billion in the second quarter, backlog reached $514 billion, and cloud operating margin widened from 20.7% to 35.6% over a year. Against that, capex doubled to $44.92 billion, pushing free cash flow to -$5.86 billion, long-term debt rose from $46.5 billion to $98.2 billion, buybacks were suspended, and a $40 billion at-the-market program raises dilution risk. Shares fell 6.58% over the past week and trade at about 13 times trailing earnings, between a 52-week low of $266.47 and a high of $403.96. The bull case reaches $442.49 and the bear case $366.77, which still implies a 16.73% gain.

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Original headline: One Magnificent Seven Stock Could Deliver Outsized Returns. Here’s the Math

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GOOGLcloud computingvaluationcapital expenditure

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MSFT

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Microsoft

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MarketUS stocks
SectorInformation Technology
IndustrySystems Software
Market cap$3.9T
Close on 10/28/2026530.83
Change that session-0.09%
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