Alphabet Can’t Shake Off AI Concerns Even With Low Multiple

Persistent concerns that Alphabet Inc. has fallen behind in the artificial intelligence supremacy race has weighed on the stock this year, and not even the cheapest earnings multiple in about two years, or limited risk from tariffs, has been enough to entice investors.

Widely seen as one of the major players in AI, Google’s parent company nevertheless continues to be dogged by the perception that it could lose market share to rivals like ChatGPT. Though it retains a dominant share of Internet search, any loss could put additional pressure on the stock, especially as the company spends aggressively on AI.