May 21 – Alphabet (NASDAQ:GOOGL) shares slipped about 2% on Tuesday after Google wrapped up its 2025 I/O developers conference, leaving investors unsatisfied.

Investors had anticipated breakthrough announcements in artificial intelligence, but many of the new AI tools and product updates won’t roll out for several months, leaving Wall Street underwhelmed in the near term.

GOOGL stock was already down roughly 13% year-to-date before the event, and the modest sell-off following I/O underscores cautious sentiment around the company’s AI roadmap.

During the keynote, Google detailed wider integration of its Gemini AI across core products, enabling natural-language commands for directions, reminders and email. It also unveiled AI Mode for Search and Chrome, a generative-AI search experience that offers conversational answers, and launched a premium AI subscription for business users at $249.99 per month.

Beyond Search, Google introduced Android XR for smart glasses in partnership with Gentle Monster and Warby Parker, and rolled out Veo 3, its next-generation AI video model. CEO Sundar Pichai described these innovations as part of a total reimagining of search, but investors remain focused on the timing of commercial deployments and their impact on near-term revenue.

Based on the one year price targets offered by 48 analysts, the average target price for Alphabet Inc is $200.33 with a high estimate of $240.00 and a low estimate of $160.00. The average target implies a upside of +22.16% from the current price of $163.98.

Based on GuruFocus estimates, the estimated GF Value for Alphabet Inc in one year is $195.77, suggesting a upside of +19.39% from the current price of $163.98. For deeper insights, visit the GOOGL Forecast page.

This article first appeared on GuruFocus.