Google (GOOGL) Dealt Body Blow in Ongoing Fight with Canada’s Government

Google’s parent company Alphabet GOOGL -1.17% ▼ has lost an important legal decision in its ongoing fight with Canada’s government.

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Canada’s competition watchdog has accused Alphabet of abusing its dominant position in online advertising to the detriment of other companies. At stake is a potential $91 billion fine that Alphabet could face if the courts agree with the Canadian Competition Bureau’s accusations.

Alphabet had tried to get the case against it dismissed, arguing that the potential fine is so big that it would violate the company’s constitutional rights. Alphabet also argued that the Canadian government is treating the case against it more like a criminal offense rather than civil litigation.

**Ruling Goes Against Alphabet **

A Competition Tribunal, or panel, dismissed Alphabet’s constitutional challenge, saying such constitutional violations typically involve an individual person’s rights and freedoms rather than a multinational corporation such as Alphabet.

It’s unclear what recourse Alphabet now has as the case brought against it by Canada’s competition watchdog moves forward. The courts must decide if allegations that the tech giant’s hold on the online advertising world has caused harm are fair and accurate.

Is GOOGL Stock a Buy?

The stock of Alphabet has a consensus Strong Buy rating among 32 Wall Street analysts. That rating is based on 26 Buy and six Hold recommendations issued in the last three months. The average GOOGL price target of $380.13 implies 25.30% upside from current levels.

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