Alphabet joined the Dow—and it didn’t help. What to do with the stock now.

But let’s not get ahead of ourselves. For Alphabet, AI isn’t just a stand-alone business—it also drives other businesses. The company, for instance, reported 63% growth for its cloud-computing arm in the first quarter of the year, the strongest since it started disclosing the figure in 2019. TD Cowen analyst John Blackledge forecasts cloud revenue will grow at a 37% compound annual rate, rising from around $100 billion this year to $480 billion in 2031.