10 Best Tech Stocks For Long Term Investment

4. Alphabet Inc. (NASDAQ:GOOGL)

Number of Hedge Fund Holders: 202

Alphabet Inc. (NASDAQ:GOOGL) is a leading technology company, encompassing a diverse portfolio of products, including Google Search, Google Maps, YouTube, Google Cloud, and Waymo. In the third quarter of 2024, its performance was driven by the increasing demand for its search and cloud services, driven by advancements in AI.

Recently, it has made notable improvements in its AI capabilities, particularly in enhancing search functionality by expanding the range of questions users can pose. Additionally, the company announced that new Chromebooks would feature built-in AI functionalities, further integrating advanced technology into everyday consumer products. On the shopping front, Alphabet Inc. (NASDAQ:GOOGL) launched a new AI tool designed to assist consumers in selecting products by providing detailed information and recommendations.

The company’s CEO has highlighted that AI solutions are driving deeper product adoption among existing customers while attracting new clients and securing larger contracts. This momentum is indicative of Alphabet Inc.’s (NASDAQ:GOOGL) strategic investments in AI infrastructure and its commitment to leveraging technology to gain a competitive advantage.

GreensKeeper Asset Management stated the following regarding Alphabet Inc. (NASDAQ:GOOGL) in its Q3 2024 investor letter:

“Alphabet Inc. (NASDAQ:GOOGL) was our largest detractor this quarter, declining by -8.8%. Global antitrust pressures have intensified, with the U.S. Department of Justice and the European Commission targeting several dominant technology companies, including Alphabet. Historically, Alphabet has signed agreements with Apple to serve as the exclusive default search engine for the Safari browser—a practice that a US court recently ruled violated antitrust law. Despite the growing possibility that Alphabet will be required to end its exclusive distribution agreements with Apple, we believe that when faced with a choice screen, the vast majority of users will continue to select Google as their preferred search engine due to its quality advantage over competitors. In EU countries where Google was previously compelled to terminate similar agreements, 97% of users opted to retain Google as their default search engine when given a choice. A similar outcome in the United States would likely have an immaterial impact on GOOGL’s earnings power. Alphabet is also facing other regulatory cases, which we monitor closely.”