15 Best Performing Stocks in S&P 500 Last 3 Months

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1. Alphabet Inc. (NASDAQ:GOOG)

3-Month Performance: 38.49%

Number of Hedge Fund Holders: 178

Alphabet Inc. (NASDAQ:GOOG) ranks among the best performing S&P 500 stocks in the last 3 months. On September 3, TD Cowen increased its price target for Alphabet Inc. (NASDAQ:GOOG) to $240 from $220 and retained a Buy rating on the company. The firm noted Google’s ability to respond to challenges from AI chatbots like ChatGPT as a result of its “massive scale & tech DNA,” backed up by proprietary survey data that demonstrates strong consumer adoption of AI Overviews and AI Mode features.

Despite competition from OpenAI and others, the firm expressed confidence that Alphabet can continue to lead the search market while making progress in generative AI, though it noted that Google Search confronts a “innovator’s dilemma” with the rise of GenAI chatbots.

According to TD Cowen, Alphabet Inc. (NASDAQ:GOOG) is “an established and leading AI company at its core” and has “similar or better GenAI technology vs competing upstarts.”

Alphabet Inc. (NASDAQ:GOOG) is a leading tech giant with a diverse portfolio, offering services such as Google Ads, Google Chrome, Google Cloud, Search, and YouTube.

While we acknowledge the potential of GOOG to grow, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and have limited downside risk. If you are looking for an AI stock that is more promising than GOOG and that has 100x upside potential, check out our report about this cheapest AI stock.

READ NEXT: 10 Best Magic Formula Stocks for 2025 and 10 Best Retirement Stocks to Buy According to Hedge Funds.

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