tl;dr
Alphabet's (NASDAQ:GOOG)(NASDAQ:GOOGL) Google Cloud Next 2024 event in Las Vegas kicked off Tuesday, highlighting success stories stemming from its artificial intelligence infrastructure, and drawing positive reactions from most financial analysts. In the eight-month period following the last Google...
Alphabet's (NASDAQ:GOOG)(NASDAQ:GOOGL) Google Cloud Next 2024 event in Las Vegas kicked off Tuesday, highlighting success stories stemming from its artificial intelligence infrastructure, and drawing positive reactions from most financial analysts. In the eight-month period following the last Google Cloud Next, Google announced and rolled out the Gemini models, introduced 1,000-plus product advances, expanded its infrastructure to 40 regions and announced six new subsea cable investments, according to J.P. Morgan. "As such, we believe the focus on Gemini and gen AI applications is the natural next step, and customer adoption and usage of Gemini and gen AI powered offerings should support strong Google Cloud growth — we project 24% reported Google Cloud revenue growth in 2024 and 22% in 2025," said J.P. Morgan's Doug Anmuth, in a note Wednesday. On Tuesday, Google announced its custom CPU Axion and its AI-powered video creation Workspace App called "Vids." J.P. Morgan believes both of these will add to incremental Google Cloud use cases. Axion, Google's first custom Arm-based CPU, delivers up to 50% better performance and up to 60% better energy efficiency than comparable current-generation x86-based instances. J.P. Morgan maintains its Overweight rating for Google with a price target of $165. GOOGLE'S COMPETITIVE EDGE Google also revealed the deep technical integration across its infrastructure, models, platform services and applications, which gives it a competitive edge, according to Morgan Stanley. "Google demonstrated the benefits of its deep technical integration across each layer of the AI tech stack, which should help them better compete with AWS (AMZN)/Azure (MSFT) going forward," said Morgan Stanley equity analyst Brian Nowak and others in a note. The migration of Gemini 1.5 Pro from limited to public preview and the release of its new AI agents, which are customizable through Vertex AI, was also notable, Nowak noted. "While Google will need to prove that this deep level of integration across the AI tech stack can translate into faster Google Cloud growth, we walk away more constructive on its competitive positioning," Nowak added. Morgan Stanley maintained its Overweight rating for Google and a price target of $165, following Tuesday's opening keynote. Wedbush analysts also gushed over Google's competitive positioning. "We continue to highlight the strength of Alphabet's competitive positioning more broadly, supported by an unmatched breadth of data to develop and train AI models, AI-optimized compute infrastructure supported by custom silicon, access to leading engineering talent and close integrations with partners across all layers of the generative AI stack," said Wedbush analyst Scott Devitt in a note. Wedbush maintains an Outperform rating for Google and a $175 price target. Google closed Tuesday 1.3% higher, but was down nearly 1% during premarket trading Wednesday. Google Cloud Next 2024 continues through Thursday.
More about Alphabet Inc Class C
Alphabet Inc Class C Summary
Alphabet Inc. is an American multinational conglomerate headquartered in Mountain View, California. It was created through a restructuring of Google on October 2, 2015, and became the parent company of Google and several former Google subsidiaries. The two co-founders of Google remained as controlling shareholders, board members, and employees at Alphabet. Alphabet is the world's fourth-largest technology company by revenue and one of the world's most valuable companies.
Sector: TECHNOLOGY
Industry: SERVICES-COMPUTER PROGRAMMING, DATA PROCESSING, ETC.
Market Cap: $1,958,832,767,000
P/E Ratio: 27.27
Dividend Yield: None
EPS: 5.8
52-Week High: $1,958.83
52-Week Low: $1,633.80
50-Day Moving Avg: $0.24
200-Day Moving Avg: $307.39
Relative Strength Index (RSI): 163.38
Volatility: 0.56
Beta: 0.135
More about Amazon.com Inc
Amazon.com Inc Summary Amazon.com Inc
Amazon.com, Inc. is an American multinational technology company which focuses on e-commerce, cloud computing, digital streaming, and artificial intelligence. It is one of the Big Five companies in the U.S. information technology industry, along with Google, Apple, Microsoft, and Facebook. The company has been referred to as one of the most influential economic and cultural forces in the world, as well as the world's most valuable brand.
Industry Sector
Trade & Services, Retail-Catalog & Mail-Order Houses
Market Cap
$1,928,628,535,000
Current Price
$64.02
Dividend Yield
None
P/E Ratio
2.9
52-Week High
$55.78
52-Week Low
$0.0529
Volume
574,784,995,000
Market Cap (intraday)
$209.62
Beta (5Y Monthly)
50.69
EPS (TTM)
$0.139
More about Microsoft Corporation
Microsoft Corporation is an American multinational technology company known for producing computer software, consumer electronics, personal computers, and related services. Its notable products include the Microsoft Windows operating systems, the Microsoft Office suite, and the Internet Explorer and Edge web browsers. The company's flagship hardware products are the Xbox video game consoles and the Microsoft Surface lineup of touchscreen personal computers. In the 2020 Fortune 500 rankings, Microsoft ranked No. 21 among the largest United States corporations by total revenue. As of 2016, it was the world's largest software maker by revenue. Microsoft is considered one of the Big Five companies in the U.S. information technology industry, alongside Google, Apple, Amazon, and Facebook.
Industry: Technology
Sector: Services-Prepackaged Software
Market Cap: 3.167447941 trillion
Current Price: $38.61
Change: $2.86
Change (%): 11.04%
52-Week Range: $30.61
Price/Earnings Ratio: 0.363
Shares Outstanding: 2.27583 billion
Public Float: 460.92 million
Beta: 0.332
Rev. per Employee: $0.176 million
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