Alphabet (GOOG) Surged on Improved Demand for AI Services

Core Insights - Pelican Bay Capital Management's Concentrated Value Strategy returned 7.8% in Q3 2025, outperforming the Russell 1000 Value Index which returned 5.3% [1] - Year-to-date, the fund has returned 11.2%, slightly below the index's 11.6% [1] Company Highlights - Alphabet Inc. (NASDAQ:GOOG) achieved a one-month return of 20.15% and a 52-week gain of 58.65%, closing at $285.34 per share with a market capitalization of $3.439 trillion on November 6, 2025 [2] - The company gained 41% in Q3 2025, driven by increased demand for its AI services, particularly the Gemini AI app, which surpassed OpenAI's ChatGPT in the Apple app store [3] - Alphabet's Tensor Processing Chips are emerging as a viable alternative to Nvidia's GPUs for AI data centers [3] Financial Performance - In Q3 2025, Alphabet Inc. reported its first-ever $100 billion in revenue [4] - The number of hedge funds holding Alphabet Inc. increased from 164 to 178 from the previous quarter [4] Investment Perspective - While Alphabet Inc. is recognized for its potential, the company is viewed as having less upside compared to certain other AI stocks, which are considered to have greater upside potential and lower downside risk [4]