Dan Niles, founder of Niles Investment Management, says he still likes Alphabet and Meta Platforms. He cites Google Cloud growth above 80% and Meta’s Muse AI agent as Nvidia nears a $6 trillion valuation.
Nvidia set a record high on October 2, which shows how much investors will pay for AI chips. The harder question is who earns a return on the AI spending behind them.
Niles first flagged Meta on September 7, when the stock was down about 7% year to date, he said.
Meta launched Muse, an agent that browses the web and completes tasks for users, on September 8. Niles says the app now ranks above ChatGPT on the App Store.
Google, Microsoft, and Amazon already rent out AI computing power through public clouds. Meta, however, does not, and Niles sees a cloud arm as its next way to monetize AI spending.
He likes the stock less than in September after the run-up. Even so, he still sees momentum, and JPMorgan’s Meta price target rose to $920 from $820 last month.
Alphabet reported on July 22 that Google Cloud revenue rose 82% to $24.8 billion in the second quarter. Niles called it the fastest acceleration among Google, Microsoft, and Amazon.
Meanwhile, Google Search and other revenue rose 17% to $63.3 billion in the same quarter, despite AI disruption fears.
Still, Niles flagged one gap. Google has no competing agent yet, he said, while OpenAI has launched its Dots agent.
On search, he said investors should keep checking the data.
“You got to watch the numbers and make sure there’s not some issue with search.”
Dan Niles, founder and portfolio manager of Niles Investment Management, interview
Alphabet’s cloud backlog, meaning signed customer commitments not yet booked as revenue, reached $514 billion in June. Together with Muse’s App Store climb, it tests whether customers will pay for the AI running on those chips.
The post Dan Niles Backs Alphabet and Meta as Google Cloud Grows Over 80% appeared first on BeInCrypto.
XRP trades near $1.51 as resistance at $1.52–$1.56 caps price. Claver maintains a $10,000 forecast, but the near-term chart remains range-bound. The post XRP Price
Bloomberg Terminal access puts Hyperliquid perpetual data in front of professionals, but the listing does not confirm execution, custody or clearing. The post Hyperliquid Data
Strategy bought 334 BTC, but its $176.3 million STRC buyback leaves the Bitcoin price outlook tied to whether funding can sustain future purchases. The post
DBS Bank, JPMorgan, and other leaders are at the forefront of a discussion surrounding the impact of stablecoins on banking. According to a recent tweet
Blockchain Bodega is here and you know the vibes. We’re at the intersection of hip-hop culture and web3, exploring this new digital frontier. Who better to guide you through these uncharted lanes than Ock Chain – The Bitcoin Boss and the Consensus Corner Boys?
Ock Chain doesn’t just cook up random details about cryptocurrency; he lives it. Ock’s been deep in the game since Bitcoin was just a baby.
And let’s not forget about the Consensus Corner Boys. They’re our skilled crew of blockchain enthusiasts. They’re here to educate, entertain, and enlighten.
Welcome to Blockchain Bodega!
Copyright © 2023 Blockchain Bodega. All rights reserved.
