10 Buzzing News to Watch as Investors Look for Best AI Stocks Amid Fed Rate Cuts

2. Alphabet Inc (NASDAQ:GOOG)

Number of Hedge Fund Investors: 178

Jim Lebenthal, chief equity strategist at Cerity Partners, said in a recent program on CNBC that the market’s reaction to Apple Services VP Eddy Cue’s comments about Google search turned out to be wrong. The analyst was referring to Cue’s comments in May where he said that searches in the Safari browser fell for the first time in April.

Lebenthal was comparing the impact of Cue’s comments on Alphabet Inc (NASDAQ:GOOG) shares with that of The Information report about Oracle’s margins on the database software company’s shares.

“Now, I’m going to make a very inexact comparison, but if you go back to May, the Eddie Cue comments about Alphabet and declining search — that turned out not to be the case, at least as far as Alphabet’s then subsequent quarter report said. And all I’m thinking about this is not everybody knows. I’m certainly not impugning Eddie Cue. He said something, the stock—in this case Alphabet—moved wildly down. It turned out just not to be the case. Now, maybe Eddie Cue will be turned out to be right later on.”

Oakmark Equity and Income Fund stated the following regarding Alphabet Inc. (NASDAQ:GOOG) in its third quarter 2025 investor letter:

“Alphabet Inc. (NASDAQ:GOOG) was the top contributor during the quarter. The technology conglomerate’s stock price appreciated following a favorable ruling in the Google Search antitrust case and second-quarter earnings that exceeded expectations across the board. Innovations in the Google Search experience are driving both engagement and revenue benefits. Moreover, Cloud growth is accelerating thanks to robust demand for AI workloads. We continue to believe Alphabet is undervalued on a sum-of-the parts basis and see potential for the company’s AI leadership to drive further upside across the portfolio.”