Jim Cramer’s Game Plan: 15 Stocks in Focus

7. Alphabet Inc. (NASDAQ:GOOGL)

Number of Hedge Fund Holders: 202

Talking about Alphabet Inc. (NASDAQ:GOOGL) during the episode, Cramer remarked:

“After the close, Alphabet reports and we wanna find out if the Search business is being cannibalized by its Gemini AI offering. I think YouTube is just on fire and that covers up any weakness. The new CFO, Anat Ashkenazi, you might remember, she was at Eli Lilly, she tells a terrific story. We’ll be listening for anything about the growth of Google’s cloud infrastructure business. If it is strong, the stock will fly.”

Alphabet (NASDAQ:GOOGL) was established as the parent company following Google’s restructuring in 2015, with Google continuing to be known mainly for its search engine.

Oakmark Funds stated the following regarding Alphabet Inc. (NASDAQ:GOOGL) in its Q4 2024 investor letter:

“Alphabet Inc. (NASDAQ:GOOGL) was the top contributor during the quarter. Despite ongoing litigation with the Department of Justice in its antitrust case, the U.S.-headquartered interactive media and services company’s stock price rose after posting solid third-quarter earnings. In the Search division, the company generated low-teens year-over-year revenue growth and management highlighted that they’re seeing strong user engagement with their new AI Overviews feature. The biggest upside surprise came from the Cloud division, where revenue growth accelerated to 35% and margins reached a record of 17%. This performance was driven by client demand for AI Infrastructure and Generative AI Solutions as well as core Google Cloud Platform (GCP) products. We continue to believe Alphabet is a collection of great businesses that can unlock further value over the long term through its world-class AI capabilities.”