Alphabet Inc. (GOOG) is having a good week on the AI front. The Google parent company just locked down partnerships with two of the biggest names in tech and retail, and Wall Street is taking notice.

BofA Securities analyst Justin Post calls the deals with Apple Inc. (AAPL) and Walmart Inc. (WMT) "a solid Gemini endorsement," raising his price target on Alphabet from $355 to $370 while maintaining a Buy rating.

Apple Goes All In on Gemini

The Apple agreement is the bigger headline here. Through a multi-year collaboration, Apple will tap Google's Gemini large language model and cloud infrastructure to build the next generation of Apple Foundation Models. Translation: Google's AI will help power future Apple Intelligence features, including a revamped, more personalized Siri that's expected to roll out later in 2026.

Walmart Brings Gemini to Shoppers

Meanwhile, Walmart's deal brings Gemini directly to consumers in a different way. The retail giant's inventory will now be available for purchase through the Gemini app, with the LLM delivering personalized product recommendations and same-day delivery options.

Why It Matters

Post thinks these partnerships justify a higher valuation multiple for Alphabet. "We think the Apple and Walmart deals warrant a higher multiple given increased evidence of traction for Google's Gemini capabilities, and potential for AI-driven monetization upside," he wrote.

Investors seem to agree. Shares of Alphabet rose 1.74% to $338.53 on Tuesday following the news.