Blackrock’s 30 Most Important AI Stocks

Page 26 of 30

5. Alphabet Inc. (NASDAQ:GOOG)

Number of Hedge Fund Holders: 160

Alphabet Inc. (NASDAQ:GOOG) is a California-based technology company that owns and runs the internet search engine Google. The first thing that makes this company stand out is its total operating income, which increased by 34% and its operating margin percent expanded by 4.5 percentage points to 32% in the third quarter of 2024. Additionally, Google Cloud revenues increased 35% to $11.4 billion led by accelerated growth in Google Cloud Platform (GCP) across AI Infrastructure, Generative AI Solutions, and core GCP products. In Cloud, AI solutions are helping drive deeper product adoption with existing customers, attract new customers and win larger deals, and YouTube’s total ads and subscription revenues surpassed $50 billion over the past four quarters for the first time. Secondly, the company has launched the most powerful and advanced AI model, Gemini. As per the reports of the second quarter of 2024, more than 1.5 million developers and other people were using the model for various purposes, which may hold key significance for investors. The company has also integrated AI to improve the coding process, which resulted in 25% of new code being AI-generated.

Page 26 of 30