Why the Top Stock from the Magnificent Seven of 2025 Remains a Strong Investment for 2026

Avatar photo

“`html

Alphabet Performance in 2025

Alphabet (NASDAQ: GOOG, GOOGL) has achieved a remarkable 64% gain this year, significantly outperforming other stocks in the “Magnificent Seven” group, with Nvidia being the next closest at 31%. Despite this strong performance, Alphabet continues to have the second-lowest price-to-earnings (P/E) ratio at 30.6, trailing only Meta Platforms.

Concerns about AI chatbots disrupting Google Search were eased as Alphabet’s Search paid clicks grew 4% in Q2 and 7% in Q3 of 2025, marking a turnaround after a 2% growth in Q1. The introduction of AI enhancements in Search and the Gemini 3 large language model, which outperformed ChatGPT in key benchmarks, contributed to this resurgence. Alphabet’s Waymo unit also expanded significantly, with over 14 million autonomous rides completed in 2025, up from just 4 million in the previous year.

“`

The free Daily Market Overview 250k traders and investors are reading

Read Now