AI Boom Powers Tech Giants Nvidia and Alphabet as Strong 2024 Buys
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The AI market is projected to expand rapidly, exceeding $1 trillion by 2030 based on a 37% compound annual growth rate. Many tech firms are restructuring to prioritize AI.
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Nvidia has dominated the AI chip market with an estimated 90% market share, allowing earnings to soar over 200% last quarter thanks to AI and data center chip demand. Its stock could grow nearly 100% by 2026.
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Alphabet recently unveiled its own AI model called Gemini to compete with chatbots like OpenAI's GPT-4. Combined with Google Search, Cloud, and YouTube, it has big advantages.
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Alphabet's stock valuation metrics like forward P/E and price-to-free cash flow ratios are far lower than rivals Microsoft and Amazon.
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With leadership in AI chips and extensive reach through popular platforms, Nvidia and Alphabet are strong tech buys for 2024.