Alphabet Inc. (GOOGL) Balances AI Ambitions with Regulatory Pressure

From Yahoo Finance: 2025-04-19 15:14:00

A recent list of the top 10 AI stocks highlights Alphabet Inc. (GOOGL) as a major player in the industry. Data center power demand is expected to remain strong despite potential economic downturns, with a forecasted 20-40% increase in US power demand from data centers by 2025.

Morgan Stanley predicts a tenfold increase in electricity consumption from AI by 2028, with AI infrastructure spending from tech giants like Meta, Amazon, and Alphabet driving growth. Energy stocks have historically shown resilience during economic downturns, with demand only falling by 0.2% on average since 1960.

GOOGL ranks 3rd on the list of top AI stocks, with potential for growth in digital advertising, cloud services, and AI innovation. Monness analyst Brian White maintains a Hold rating on GOOGL, citing challenges like antitrust issues and significant capital expenditures. However, other AI stocks may offer higher returns in a shorter time frame.

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