Alphabet’s AI Missteps Are Opportunity For One Fund Manager
- Boston Partners’ Cohen says AI upside isn’t priced into stock
- Alphabet’s price-to-earnings ratio is below other Big Tech
Alphabet’s misfiring Gemini AI product has been viewed as a major setback.
Photographer: Gabby Jones/BloombergThis article is for subscribers only.
Concerns about Alphabet Inc.’s artificial intelligence missteps have weighed heavily on the Google-parent’s stock, but a Boston Partners fund manager believes this has created a golden opportunity for investors.
The shares trade at “a low multiple for an extraordinary business,” David Cohen, who manages just over $30 billion as a portfolio manager for Boston Partners’ large cap value strategy, said in an interview in London. “We don’t think the upside from what the company can do with AI is priced into the equity.”