Alphabet shares likely to remain range-bound, says JPMorgan

JPMorgan analyst Doug Anmuth says that based on recent meetings with investors, Alphabet remains the most discussed and debated name in the internet group, with particular focus on the Justice Department’s high-level framework for potential remedies expected to be filed on Tuesday, October 8. The firm believes expectations from investors are low going in, with the Street expecting the DOJ to outline a “wide-ranging and far-reaching” set of potential remedies, most likely more than the agency expects it could ultimately win. The remedies could include ending all exclusive default search agreements for Google across all browsers, separation of Android and Chrome from Google, separation of Google Search ads from Google, limitations on how Google can implement artificial intelligence in search, and some kind of data sharing including providing patent access to search competitors, the analyst tells investors in a research note. JPMorgan says that while a near-term relief rally is possible for the shares, the stock is likely to remain range-bound. It keeps an Overweight rating on Alphabet with a $208 price target