10 Biggest AI Stories and Ratings Updates You Should Not Miss This Week

4. Alphabet Inc. (NASDAQ:GOOG)

Number of Hedge Fund Holders: 222

Alphabet Inc. (NASDAQ:GOOG) is one of the best AI stories in the market and is well-positioned to exploit the next wave of artificial intelligence and innovation. Google DeepMind, the company’s research lab is making moves to develop new models that will provide teams with a single access point to all the company’s models. The research lab is working relentlessly to improve the Gemini experience. Back in February, the company launched Gemini 1.5  Pro, with accelerated performance across text, audio, video, and code.

Overall, the company’s new AI models and algorithms are 100 times more efficient compared to 18 months ago. Additionally, over 60% of generative AI startups and 90% of generative AI unicorns are customers of the Google Cloud, backed by the company’s fifth-generation tensor processing unit. Additionally, more than one million developers are using its generative AI tools including AI Studio and Vertex AI. The company spent $12 billion on capital expenditures in the first quarter of 2024, twice as much as the expenditure in Q4 2023.

Alphabet Inc. (NASDAQ:GOOG) also launched its NVIDIA chip rival in May. Trillium is the company’s family of AI data center chips, almost five times faster than its previous models. While Google’s tensor processing units (TPU) only account for almost 20% of the market, its advancements promise higher market shares in the future. The sixth generation Trillium chips perform 4.7 times better in terms of computing performance. Moreover, they are also 67% more energy efficient compared to the previous generation of Trillium processors. The new chip will be made available to Google Cloud users by the end of 2024.

Overall, 222 investors held stakes worth $32.35 billion in Alphabet Inc. (NASDAQ:GOOG). Of those, Ken Fisher’s Fisher Asset Management was the highest stakeholder with a position of $6.99 billion.

Wall Street analysts are bullish on the stock. On July 3, Needham reiterated a buy rating on the stock and maintained its price target of $210.