Tech Giants Bet on AI and Profitability to Power Market Rally
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Alphabet (Google) is betting big on AI with new tools like Google Gemini to compete with ChatGPT, while also rebounding in digital ads as the economy improves.
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Amazon's e-commerce business is recovering strongly, while its Amazon Web Services cloud business is booming thanks to AI services.
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Netflix is shifting its business model to focus more on profitability through ads, cracking down on password sharing, and exploring gaming.
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These 3 mega tech stocks make up nearly 8% of the S&P 500, so their growth trajectories will strongly influence overall market trends.
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The author expects all 3 companies to power the ongoing bull market in 2023 and 2024 through AI leadership, increased profitability, and economic tailwinds.