Here’s What Lifted Alphabet (GOOG) in Q3?

The London Company, an investment management company, released “The London Company Large Cap Strategy” third-quarter 2025 investor letter. A copy of the letter can be downloaded here. US equities continued their rally in the third quarter, driven by the Fed rate cut, solid corporate earnings, and enthusiasm around AI. The economy retained most of its momentum from the second quarter, even though the economic data released during the third quarter was mixed. The portfolio returned 6.3% (6.2%, net) during the quarter compared to an 8.0% gain for the Russell 1000 Index. In addition, you can check the fund’s top 5 holdings to determine its best picks for 2025.

In its third-quarter 2025 investor letter, The London Company Large Cap Strategy highlighted stocks such as Alphabet Inc. (NASDAQ:GOOG). Alphabet Inc. (NASDAQ:GOOG), the parent company of Google, offers various platforms and services operating through Google Services, Google Cloud, and Other Bets segments. The one-month return of Alphabet Inc. (NASDAQ:GOOG) was 12.97%, and its shares gained 66.46% of their value over the last 52 weeks. On November 3, 2025, Alphabet Inc. (NASDAQ:GOOG) stock closed at $284.12 per share, with a market capitalization of $3.426 trillion.

The London Company Large Cap Strategy stated the following regarding Alphabet Inc. (NASDAQ:GOOG) in its third quarter 2025 investor letter:

“Alphabet Inc. (NASDAQ:GOOG) – GOOG was a top performer following strong core business results and the accelerated adoption of its AI offerings. Favorable news on outstanding legal cases also helped. Management is effectively executing cost-saving initiatives while diversifying revenue through Cloud and subscriptions. We remain attracted to its massive ecosystem scale, sound capital allocation, and clean balance sheet.”

Alphabet Inc. (NASDAQ:GOOG) is in the 7th position on our list of 30 Most Popular Stocks Among Hedge Funds. As per our database, 178 hedge fund portfolios held Alphabet Inc. (NASDAQ:GOOG) at the end of the second quarter which was 164 in the previous quarter. In the third quarter of 2025, Alphabet Inc. (NASDAQ: GOOG) achieved its first-ever $100 billion in revenue. While we acknowledge the risk and potential of Alphabet Inc. (NASDAQ:GOOG) as an investment, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and doing so within a shorter time frame. If you are looking for an AI stock that is more promising than Alphabet Inc. (NASDAQ:GOOG) and that has 10,000% upside potential, check out our report about this cheapest AI stock.

In another article, we covered Alphabet Inc. (NASDAQ:GOOG) and shared the list of best monopoly stocks to buy. In addition, please check out our hedge fund investor letters Q3 2025 page for more investor letters from hedge funds and other leading investors.

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Disclosure: None. This article is originally published at Insider Monkey.