Updated
Updated · Yahoo Finance · Sep 14
Alphabet Rises to $339.88 as Investors Reassess Slower AI Development Risks
Updated
Updated · Yahoo Finance · Sep 14

Alphabet Rises to $339.88 as Investors Reassess Slower AI Development Risks

3 articles · Updated · Yahoo Finance · Sep 14

Summary

  • Alphabet shares were highlighted Monday as investors looked for companies that could better withstand a slowdown in AI development, with the stock at $339.88.
  • An 82% jump in second-quarter Google Cloud revenue to $24.77 billion supports that view, but the key question is whether demand shifts from model training to inference can keep its AI infrastructure fully utilized.
  • Google’s TPU lineup underscores that split: TPU 8t targets large-scale training, while TPU 8i is geared to inference and reinforcement learning, creating different revenue streams if bigger-model projects pause.
  • A 33.97% premium to GuruFocus’s $253.70 GF Value estimate suggests investors already price in strong execution, leaving less room for disappointment if delayed training contracts are not offset by usage growth.

Insights

With AI training slowing, can Alphabet's pivot to inference justify its massive $200 billion infrastructure gamble?
As Alphabet's cloud backlog hits $514 billion, will its custom TPU chips finally dethrone Nvidia's dominance in AI hardware?