Jim Cramer Discusses Alphabet (GOOGL) & OpenAI's Rivalry

We recently published 15 Stocks on Jim Cramer’s Radar.  Alphabet Inc. (NASDAQ:GOOGL) is one of the stocks on Jim Cramer's radar.

Over the past couple of months, Jim Cramer has turned increasingly optimistic on Alphabet Inc. (NASDAQ:GOOGL). Several factors have driven his optimism. Early on, these included enthusiasm for YouTube and the firm’s dominance in the search engine market. More recently, Alphabet Inc. (NASDAQ:GOOGL)’s Gemini AI platform has landed on the CNBC TV host’s radar. He correctly predicted that Gemini would land a deal with Apple. In mid-January, RBC Capital raised the price target to $375 and kept a Buy rating for Alphabet Inc. (NASDAQ:GOOGL)’s shares. Along with RBC, Bank of America upgraded the price target to $370 from $335 and kept a Buy rating. BofA’s coverage came after Apple’s crucial announcement of using Gemini on a future version of Siri. RBC’s coverage had also discussed artificial intelligence and commented that momentum in the advertisement could grow in 2026. Other factors included growth in the small and medium business advertisement market. Cramer briefly discussed the competition between OpenAI and Alphabet Inc. (NASDAQ:GOOGL):

“When you’re speaking to the 14 CEOs that I did, and the three offline. . .what shocked me was that they really wanted to talk about was whether Google won, and is it over.

“One thing people tell me, are you kidding me, the next iteration of OpenAI’s ChatGPT will blow Google away, we keep hearing that.”

While we acknowledge the potential of GOOGL as an investment, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and have limited downside risk. If you are looking for an extremely cheap AI stock that is also a major beneficiary of Trump tariffs and onshoring, see our free report on the best short-term AI stock.

READ NEXT: 30 Stocks That Should Double in 3 Years and 11 Hidden AI Stocks to Buy Right Now.

Disclosure: None. This article is originally published at Insider Monkey.