Better Artificial Intelligence (AI) Stock: Alphabet vs. Micron Technology (the Winner May Surprise You)
https://www.fool.com/investing/2026/07/03/better-artificial-intelligence-ai-stock-alphabet-v/
Publish Date: 2026-07-03 14:40:00
Source Domain: www.fool.com
In the artificial intelligence (AI) investing sector, there are several ways to play the trend. You can invest in legacy tech companies like Alphabet (GOOG 0.37%) (GOOGL 0.23%) that are integrating AI throughout their products, training their own AI models, and building a cloud computing network to run internal and external AI workloads. Another popular way is to pick an infrastructure play like Micron (MU 5.68%), which provides memory chips used in data center applications.
These two have been profitable investments over the past year, but which looks like the better stock pick now?
Image source: Getty Images.
Alphabet’s AI gains will be longer-lived
Alphabet has a wide AI strategy, and it appears to be excelling in nearly every area. Its Gemini generative AI platform is widely used and has been integrated into Google Search, offering AI search summaries for nearly every result. Alphabet also has a thriving cloud computing business that saw 63% revenue growth during Q1. All of these business units are showing strong growth, and that growth is likely to continue.
Today’s Change
(-0.23%) $-0.85
Current Price
$360.36
Key Data Points
Market Cap
$4.4T
Day’s Range
$353.47 – $364.20
52wk Range
$172.77 – $408.61
Volume
1.1M
Avg Vol
31.5M
Gross Margin
60.43%
Dividend Yield
0.24%
The same cannot be said for Micron. Micron makes memory chips used in computing hardware and long-term storage devices. Demand for these is booming right now as a huge number of data centers are being built.
But what happens when the data center build-out is over? That’s a question that keeps Micron investors up at night, as the memory market will look far different after the build-out is over than it does right now. While there will always be some residual demand for new and replacement computing units, it will likely never reach the peak demand we’re seeing right now ever again.
So, from a long-term investing perspective (I’m talking a decade plus), Alphabet is the better stock to buy.
Winner: Alphabet
