10 AI Stocks Investors are Watching

4. Alphabet Inc. (NASDAQ:GOOGL)

Number of Hedge Fund Holders: 227

Alphabet Inc. (NASDAQ:GOOGL) is one of the 10 AI Stocks Investors are Watching. On June 26, Bank of America Securities analyst Justin Post maintained a “Buy” rating on the stock with an associated price target of $200.00. Bank of America Securities recently hosted a debate attended by over 200 investors, where overall sentiment on the stock was rather mixed.

Even though Google is facing increasing competition from platforms such as OpenAI’s ChatGPT, as well as battling concerns like monetization challenges and the Department of Justice trial outcome, Post views the company’s proprietary data and deep integration as significant advantages. According to Post, these factors provide a strong foundation for monetization and defensibility as AI models become ubiquitous.

Moreover, non-search segments of the company, such as Cloud, YouTube, and Waymo, are often undervalued. However, Post suggests that they hold significant growth potential. Regulatory clarity can also help Alphabet to accelerate its AI strategies. Together, a large number of bullish investors support this buy rating for the stock.

Alphabet Inc. (NASDAQ:GOOG) is an American multinational technology conglomerate holding company wholly owning the internet giant Google, amongst other businesses.