12 Best Stocks to Invest in for the Next 3 Months

4. Alphabet Inc. (NASDAQ:GOOGL)  

No. of Hedge Funds: 202  

Alphabet Inc. (NASDAQ:GOOGL), the parent company of Google, is a global leader in digital services and technology innovation. The company’s vast ecosystem includes search, YouTube, Android, and Google Cloud. Alphabet Inc.’s (NASDAQ:GOOGL) investments in AI, autonomous vehicles (through Waymo), and other disruptive technologies underscore its forward-thinking strategy.

On October 29, Alphabet Inc. (NASDAQ:GOOGL) announced financial results for the quarter ended September 30. The company’s Q3 revenues increased 15% year over year to $88.3 billion, driven by strong momentum across all business segments. Alphabet Inc.’s (NASDAQ:GOOGL) Services revenues increased 13% to $76.5 billion, driven by Google Search, Google subscriptions, platforms, and devices, and YouTube ads. The company’s Cloud segment’s revenue increased 35% to $11.4 billion, due to accelerated growth in Google Cloud Platform (GCP), AI Infrastructure, Generative AI Solutions, and core GCP products. Alphabet Inc.’s (NASDAQ:GOOGL) net income increased 34% to $26.30 billion. The company’s YouTube segment revenues increased from $7.95 billion to $8.92 billion, which provides a valuable diversification from its traditional Google Search ad revenue.

While Waymo, Alphabet Inc.’s (NASDAQ:GOOGL) autonomous driving segment, may not be the company’s strongest growth driver, Waymo is well-positioned to capitalize on the growing demand for autonomous vehicles. On November 12, CNBC reported that Waymo opened its robotaxi service to the general public in Los Angeles, marking its largest expansion yet. The service, which was previously available to a limited number of users, is now accessible to anyone in LA through the Waymo One app, covering nearly 80 square miles of Los Angeles County.

This expansion follows the company’s previous launches in Phoenix and San Francisco and brings the total number of cities with fully available robotaxi services to three. With over 3.8 million people, LA is the largest city to offer Waymo’s robotaxi service, providing a significant opportunity for growth and adoption.

Waymo has been rapidly expanding its operations over the past year. In October, the company closed a $5.6 billion funding round to expand its robotaxi service across the United States. As a result, Waymo has seen a significant increase in paid rides across its three markets, with over 150,000 paid rides per week via the Waymo One app, up from 100,000 in August. Additionally, Waymo has partnered with Uber to launch its robotaxi service in Austin, Texas, in 2025, and has agreed to a multiyear strategic partnership with Hyundai to add the Ioniq 5 electric vehicle to its robotaxi fleet.