For decades, semiconductor cycles followed a fairly predictable sequence. Demand improved, companies bought more equipment to make more chips, unit shipments increased so that supply exceed demand, and pricing eventually weakened as oversupply returned to the market. Investors therefore learned to focus primarily on unit growth because pricing historically lagged demand rather than led it.
Google stock has surged over 60% in the last twelve months, fueled primarily by the aggressive integration of Gemini AI across its search and cloud ecosystems. Historically, Alphabet is no stranger to such momentum; the stock has seen 30% rallies in under two months during 2010 and 2024, and even twice eclipsed 50% gains in brief windows throughout 2025. If these historical precedents hold, upcoming catalysts could once again propel the stock to record peaks, offering substantial upside for investors.
