AI has started a new era, which is expected to almost eclipse the dot com era. Amidst all of this, it's important to pick the AI stocks that have an actual future and aren't just all hype.
With that in mind, we have picked Alphabet (GOOG) and Cellebrite (CLBT) as the best AI stocks. Let's explore why you should buy GOOG and CLBT for the long term.
Alphabet is the name that's behind everything... This includes YouTube, Google, cloud services, Android, and so on. However, the firm has also established itself in the AI space with its major computational power and data resources.
The big AI products from Alphabet include Gemini, DeepMind, Veo 3, and so on. It wouldn't be wrong to say that Alphabet has become a major player in the AI race.
Alphabet is also offering AI infrastructure and tools for businesses. This is just like selling shovels during the Gold Rush, and also makes the case of investing in Alphabet such a good option.
However, the one risk faced by Alphabet is its Google search. The market share of generative search and AI chatbots will only increase in the coming months and years.
This could hurt the advertising margins of Google, which relies heavily on it via Google Search. Also, Alphabet faces risks in terms of antitrust, regulatory scrutiny, and so on.
The next AI stock to buy is Cellebrite (CLBT), which is involved in digital forensic investigations and decrypting mobile devices.
For those who want established stocks in the AI space, the first name that comes to mind is Cellebrite (CLBT). This firm is a global leader when it comes to getting data from encrypted mobile phones.
These services have a huge demand in cybersecurity and criminal investigations. Also, a huge ratio of crimes that are being committed these days have one or two digital elements.
Looking ahead, Cellebrite (CLBT) is also using AI to analyse and extract encrypted data. This will make it easy for them to get the information from digital devices and cut down the time.