Jump to content
  • Sign Up
×
×
  • Create New...

2 AI Stocks Will Be Worth More Than Apple Stock Before the End of 2026


Recommended Posts

  • Diamond Member

This is the hidden content, please

2 AI Stocks Will Be Worth More Than Apple Stock Before the End of 2026

This is the hidden content, please
and Alphabet could achieve $3 trillion market values within six quarters, in which case they would surpass what Apple is worth today before the end of 2026.

This is the hidden content, please
has a strong presence in e-commerce, digital advertising, and cloud computing, and it’s using AI to improve efficiency across its retail business.

Alphabet has a strong presence in digital advertising and cloud computing, and expertise in AI infrastructure and large language models could drive market share gains.

This is the hidden content, please

Apple is currently the

This is the hidden content, please
in the world with a market capitalization of $2.9 trillion. I think
This is the hidden content, please
(NASDAQ: AMZN) and Alphabet (NASDAQ: GOOGL) (NASDAQ: GOOG) can top that figure before the end of 2026. Here’s what that would mean for shareholders:

This is the hidden content, please
stock currently trades at $201 per share and the company is worth $2.13 trillion as of May 26. The stock price must increase 41% to $283 for
This is the hidden content, please
to achieve a $3 trillion market value.

Alphabet stock currently trades at $168 per share and the company is worth $2.04 trillion as of May 26. The stock price must increase 47% to $247 per share for Alphabet to achieve a $3 trillion market value.

Here’s what investors should know about

This is the hidden content, please
and Alphabet.

Image source: Getty Images.

This is the hidden content, please
reported solid first-quarter financial results. Revenue increased 9% to $155 billion and GAAP earnings jumped 62% to $1.59 per diluted share. But management gave cautious guidance. Second-quarter operating income is expected to land between $13 billion and $17.5 billion, which implies growth between negative 11% to positive 19%. Management cited uncertainty about tariffs as the reason for the broad range of possible outcomes.

Looking ahead, e-commerce sales are expected to increase at 11% annually, digital ad spending is projected to grow at 15% annually, and cloud computing sales are forecast to increase at 20% annually, according to Grand View Research.

This is the hidden content, please
enjoys a strong presence in all three markets, which puts the company on a glidepath to double-digit revenue growth through the end of the decade.

This is the hidden content, please
is also leaning on artificial intelligence (AI) to drive efficiency gains across its retail business. CEO Andy Jassy recently told analysts the company is developing about 1,000 generative AI applications to assist sellers, provide customer service, manage inventory, plan delivery routes, and power fulfillment center robots. Those innovations should make
This is the hidden content, please
more profitable.

I think that sets

This is the hidden content, please
on course for a $3 trillion market value in late 2026. Its current price-to-earnings (P/E) ratio of 32.7 is reasonable for a company whose earnings increased 62% in the recent quarter. And even if
This is the hidden content, please
’s earnings growth slows to 26% annually in the next six quarters, its market value can reach $3 trillion with no change in the P/E ratio. I think that is plausible, so long as tariffs don’t pose a material headwind.

Story Continues

Alphabet reported solid financial results in the first quarter, beating estimates on the top and bottom lines. Revenue increased 12% to $90 billion on particularly strong sales growth in cloud services. Operating margin expanded 2 percentage points and GAAP earnings rose 49% to $2.81 per dilute share. CEO Sundar Pichai said AI overviews are driving more usage of

This is the hidden content, please
Search, and he mentioned positive feedback from developers and consumers on the latest Gemini model.

As mentioned in the previous section, digital ad spending is projected to increase at 15% annually and cloud computing sales are forecast to increase at 20% annually, according to Grand View Research. Like

This is the hidden content, please
, Alphabet enjoys a strong position in those markets, which puts the company on a glidepath to double-digit sales growth through the end of the decade.

Importantly, Alphabet is losing market share in digital advertising, but

This is the hidden content, please
Search and
This is the hidden content, please
remain two of the most engaging web properties. So, ad sales may lag the industry average, but double-digit growth is still plausible. Additionally,
This is the hidden content, please
gained a percentage point of market share in cloud infrastructure and platform services over the past year. That trend may continue due to strength in AI. Forrester Research has recognized
This is the hidden content, please
as a leader in AI infrastructure and foundational large language models.

Alphabet has another significant opportunity in autonomous driving. Its Waymo subsidiary offers robotaxi services in four U.S. cities, and will add three more in the coming months. That makes it the early leader in a market that could exceed $1 trillion, according to Uber. But while Waymo may create significant shareholder value in the next decade, it’s unlikely to move the needle in the next six quarters.

Nevertheless, Alphabet can still attain a $3 trillion valuation over that *******. Its current valuation of 18.7 times sales is reasonable for a company whose earnings grew 49% in the recent quarter. And if Alphabet’s earnings increase at 30% annually over the next six quarters, its market value can reach $3 trillion without any change in the PE ratio. I think that is plausible, provided there are no complications from pending

This is the hidden content, please
.

Before you buy stock in

This is the hidden content, please
, consider this:

The Motley Fool Stock Advisor analyst team just identified what they believe are the 

This is the hidden content, please
for investors to buy now… and
This is the hidden content, please
wasn’t one of them. The 10 stocks that made the cut could produce monster returns in the coming years.

Consider when 

This is the hidden content, please
 made this list on December 17, 2004… if you invested $1,000 at the time of our recommendation, you’d have $639,271!* Or when Nvidia made this list on April 15, 2005… if you invested $1,000 at the time of our recommendation, you’d have $804,688!*

Now, it’s worth noting Stock Advisor’s total average return is 957% — a market-crushing outperformance compared to 167% for the S&P 500. Don’t miss out on the latest top 10 list, available when you join Stock Advisor.

This is the hidden content, please

*Stock Advisor returns as of May 19, 2025

Suzanne Frey, an executive at Alphabet, is a member of The Motley Fool’s board of directors. John Mackey, former CEO of Whole Foods Market, an

This is the hidden content, please
subsidiary, is a member of The Motley Fool’s board of directors.
This is the hidden content, please
has positions in
This is the hidden content, please
. The Motley Fool has positions in and recommends Alphabet,
This is the hidden content, please
, Apple, and Uber Technologies. The Motley Fool has a
This is the hidden content, please
.

This is the hidden content, please
was originally published by The Motley Fool



This is the hidden content, please

#Stocks #Worth #Apple #Stock

This is the hidden content, please

This is the hidden content, please

For verified travel tips and real support, visit: https://hopzone.eu/

Join the conversation

You can post now and register later. If you have an account, sign in now to post with your account.

Guest
Unfortunately, your content contains terms that we do not allow. Please edit your content to remove the highlighted words below.
Reply to this topic...

×   Pasted as rich text.   Paste as plain text instead

  Only 75 emoji are allowed.

×   Your link has been automatically embedded.   Display as a link instead

×   Your previous content has been restored.   Clear editor

×   You cannot paste images directly. Upload or insert images from URL.

  • Vote for the server

    To vote for this server you must login.

    Jim Carrey Flirting GIF

  • Recently Browsing   0 members

    • No registered users viewing this page.

Important Information

Privacy Notice: We utilize cookies to optimize your browsing experience and analyze website traffic. By consenting, you acknowledge and agree to our Cookie Policy, ensuring your privacy preferences are respected.