Why Google Stock Could Skyrocket in 2024 — TradingView News

Google’s parent company Alphabet GOOG sits as a top Magnificent Seven stock for good reason. For one, it has competitive advantage in the AI landscape through DeepMind. Acquired a decade ago, DeepMind is known for its fascinating machine learning advancements. Let’s see what that means for Google stock.

Alphabet’s value as a lasting investment is strengthened by its data center and cloud infrastructure businesses. Alphabet uses data and computing power to create groundbreaking AI models. Not to mention the company’s AI algorithms already integrated into the core search business.

In addition to pioneering AI research, Alphabet’s robust infrastructure positions it to capitalize on its innovative technologies. Google Cloud, equipped with AI-driven services, targets businesses and developers and looks poised to benefit from the rising adoption of AI across sectors.

The Rise of AI

Google Quantum AI has made significant progress in reducing quantum computing errors. Sycamore 3 processors enhanced control integrity, cross-talk, qubit relaxation, and dephasing.

Researchers recently demonstrated quantum teleportation in a 70-qubit device, advancing our understanding of quantum entanglement and its application in future quantum communication networks.

Alphabet investors have benefited from the AI trend,, with the company seeing significant revenue growth driven by AI integrations in the company’s advertising and cloud computing segments.

Impressively, Google Cloud accounts surged, leading to a 10% increase in revenue in this segment alone. In Q1 2024, Alphabet reported 15% revenue growth, and net income also improved 57%. Shares increased 28% year-to-date and have tripled over the past five years, trading at a reasonable price-earnings ratio of 28-times, given its growth. 

Now sitting with a $2.3 trillion market cap, a number of analysts believe Alphabet could be poised to join the $3 trillion club in the coming years. This may be achievable on the basis of earnings growth and profit margin expansion alone, which has been impressive of late.

Changing the News Industry

Google is extending its News Showcase feature to the Baltic nations: Estonia, Latvia, and Lithuania. This curated news service displays panels with multiple headlines from participating publishers, linking to full stories on their websites.

Accessible on Google News and Discover across Android and iOS, users can swipe between panels from various publishers.

The program, partnering with Latvian Television, LA/TV24 Group, and Tvnet Group, will feature news from LSM.lv, Tvnet.lv, and LA.lv. Globally, Google has agreements with over 2,700 publications in 30 countries.

The latest expansion, enhancing publisher visibility, coincided with Google’s increased integration of generative AI across its services. Despite AI’s prominent placement in Google Search, its recommendations can still be quirky, like suggesting glue for pizza toppings.

GOOG Stock Still Looks Like a Buy

Alphabet’s history of innovation, extensive data and computing capabilities, and emerging AI service offerings make it an appealing choice for investors. Its shares trade at a reasonable 23-times forward earnings, a competitive valuation in the fast-growing AI sector.

For those seeking a top-notch AI name worth buying in this current environment, Google stock may be the overlooked gem that’s worth considering now.

On the date of publication, Chris MacDonald did not hold (either directly or indirectly) any positions in the securities mentioned in this article. The opinions expressed in this article are those of the writer, subject to the InvestorPlace.com Publishing Guidelines.

On the date of publication, the responsible editor did not have (either directly or indirectly) and positions in the securities mentioned in this article.

Chris MacDonald’s love for investing led him to pursue an MBA in Finance and take on a number of management roles in corporate finance and venture capital over the past 15 years. His experience as a financial analyst in the past, coupled with his fervor for finding undervalued growth opportunities, contribute to his conservative, long-term investing perspective.

More from InvestorPlace

Source link

Why Google Stock Could Skyrocket in 2024 — TradingView News #Google #Stock #Skyrocket #TradingView #News

Source link Google News

Source Link: https://www.tradingview.com/news/investorplace:6683bb2b3094b:0-overlooked-ai-gem-why-google-stock-could-skyrocket-in-2024/

Why Google Stock Could Skyrocket in 2024 — TradingView News:

Google’s parent company Alphabet GOOG sits as a top Magnificent Seven stock for good reason. For one…