Jim Cramer’s Opinion on 21 Stocks: Oklo, AST SpaceMobile, and Others

11. Alphabet Inc. (NASDAQ:GOOGL)

Alphabet Inc. (NASDAQ:GOOGL) was among the stocks Jim Cramer highlighted, as he discussed the massive AI infrastructure buildout. Cramer noted that the company’s quarter “wasn’t perfect,” as he stated:

I want to dig into what we heard from big tech and what it means for the rest of the market. Why don’t we start with Alphabet, which saw its stock… up 10% today in response. Alphabet reported an incredibly strong quarter with 22% revenue growth, 82% earnings growth, 82%, both coming in well above expectations. Alright, the quarter wasn’t perfect. They had some small misses, YouTube, advertising… Other Bets business. The most important parts of this company, though, were very much strong. The core Google search division was up 19%. Google Cloud, their web infrastructure business, saw its sales skyrocket 63% to $20 billion.

This is the part of the business where they’ve been spending a fortune on data centers. Right now, that’s looking like a great investment. Yeah, you heard me. What else? We know that Gemini Enterprise saw paid monthly active users jump 40% quarter over quarter. They also talked about the tremendous demand for their custom-built TPU chips from AI labs and other customers.

And this, you have to understand, that’s stuff that they make, okay? That’s not NVIDIA. Now, Google did bump up its full-year capital expenditure budget by $5 billion, taking it to the $180 to $190 billion range. CFO Anat Ashkenazi mentioned that they expect the CapEx budget to significantly increase again in 2027… insane amount of money. But Alphabet’s producing spectacular results, so Wall Street was happy to get behind it. See, they not only have that line of sight that I talked about, they are coining money now.

Alphabet Inc. (NASDAQ:GOOGL) provides technology-related products and services, including search, advertising, cloud computing, AI tools, and digital content platforms such as YouTube and Google Play.