5 Blue Chip Stocks to Buy That Are Down Over 30% YTD

3. Alphabet Inc. (NASDAQ:GOOG)

Number of Hedge Fund Holders: 156

Year to Date Performance as of 12/26: -37.92%

Much has been written about OpenAI’s ChatGPT and how it could affect Alphabet Inc. (NASDAQ:GOOG)’s search market share in the future. While there could be more competition in the future in search, Alphabet Inc. (NASDAQ:GOOG) does have AI technology that’s as good or perhaps better than ChatGPT but the company hasn’t released it because it isn’t really accurate yet.

In the future, the new markets AI could create could offer substantially bigger opportunities for Alphabet Inc. (NASDAQ:GOOG) than search. If Alphabet Inc. (NASDAQ:GOOG) successfully innovates in AI, there’s potential to increase EPS in the long term.

As it stands, the stock is more high risk/high reward than before as the market will want to see how Alphabet Inc. (NASDAQ:GOOG) reacts to the new competition.