{"id":249357,"date":"2026-01-21T05:16:12","date_gmt":"2026-01-21T05:16:12","guid":{"rendered":"https:\/\/www.newsbeep.com\/il\/249357\/"},"modified":"2026-01-21T05:16:12","modified_gmt":"2026-01-21T05:16:12","slug":"warren-buffett-sent-a-clear-multibillion-dollar-message-about-artificial-intelligence-that-investors-shouldnt-ignore","status":"publish","type":"post","link":"https:\/\/www.newsbeep.com\/il\/249357\/","title":{"rendered":"Warren Buffett Sent a Clear Multibillion-Dollar Message About Artificial Intelligence That Investors Shouldn&#8217;t Ignore"},"content":{"rendered":"<p>                      Key Points<\/p>\n<p>Berkshire has long eyed Alphabet as a potential investment opportunity.<\/p>\n<p>Alphabet&#8217;s stock has rallied since Berkshire invested in it.<\/p>\n<p>The stock no longer trades in value stock territory.<\/p>\n<p><a class=\"text-cyan-800 hover:text-cyan-600\" href=\"https:\/\/api.fool.com\/infotron\/infotrack\/click?apikey=35527423-a535-4519-a07f-20014582e03e&amp;impression=8cd30231-069c-4481-9faf-8c090dd792cc&amp;url=https%3A%2F%2Fwww.fool.com%2Fmms%2Fmark%2Fe-sa-nonbbn-kp%3Faid%3D8867%26source%3Disaedikp0000069%26ftm_cam%3Dsa-bbn-evergreen%26ftm_veh%3Dkeypoints_pitch_feed_partner%26ftm_pit%3D17995\" rel=\"nofollow noopener\" target=\"_blank\">10 stocks we like better than Alphabet \u203a<\/a><\/p>\n<p>Although Warren Buffett isn&#8217;t the CEO of Berkshire Hathaway any longer, his final actions in that role are still being discovered by investors. Berkshire Hathaway operates a massive investment portfolio, and investors don&#8217;t know how it changes until 45 days after the end of a quarter, when it files a <a href=\"https:\/\/www.fool.com\/terms\/f\/form-13f\/?utm_source=nasdaq&amp;utm_medium=feed&amp;utm_campaign=article&amp;referring_guid=757839d1-e7b0-4ff4-8c5c-6e7cd9e83979\" target=\"_blank\" rel=\"nofollow noopener\">Form 13F<\/a> with the Securities and Exchange Commission (SEC). So we&#8217;ll find out more about what Buffett and Berkshire did during his last few days as CEO around Feb. 15.<\/p>\n<p>The last information we have surrounding Berkshire&#8217;s investments is from Q3. Buffett and Berkshire have always made it a point to invest in easy-to-understand businesses that fall toward the value style of investing. Most <a href=\"https:\/\/www.fool.com\/terms\/a\/artificial-intelligence\/?utm_source=nasdaq&amp;utm_medium=feed&amp;utm_campaign=article&amp;referring_guid=757839d1-e7b0-4ff4-8c5c-6e7cd9e83979\" target=\"_blank\" rel=\"nofollow noopener\">artificial intelligence<\/a> stocks don&#8217;t fall into either of those groupings, so this new stock may have been a surprise to some investors.<\/p>\n<p>Where to invest $1,000 right now? Our analyst team just revealed what they believe are the 10 best stocks to buy right now. <a href=\"https:\/\/api.fool.com\/infotron\/infotrack\/click?apikey=35527423-a535-4519-a07f-20014582e03e&amp;impression=677c5430-a224-4679-91e4-fdfdfd18d50a&amp;url=https%3A%2F%2Fwww.fool.com%2Fmms%2Fmark%2Fe-sa-bbn-bn%3Faid%3D8867%26source%3Disaeditxt0001096%26ftm_cam%3Dsa-bbn-evergreen%26ftm_veh%3Dtop_incontent_pitch_feed_partner%26ftm_pit%3D17547&amp;utm_source=nasdaq&amp;utm_medium=feed&amp;utm_campaign=article&amp;referring_guid=757839d1-e7b0-4ff4-8c5c-6e7cd9e83979\" rel=\"nofollow noopener\" target=\"_blank\">Continue \u00bb<\/a><\/p>\n<p>However, I think it was a genius move that jives with Buffett&#8217;s investment philosophy. Investors shouldn&#8217;t ignore this multibillion-dollar message, and I think many should follow Berkshire&#8217;s lead by investing in Alphabet <a href=\"https:\/\/www.nasdaq.com\/market-activity\/stocks\/goog\" rel=\"nofollow noopener\" target=\"_blank\">(NASDAQ: GOOG)<\/a> <a href=\"https:\/\/www.nasdaq.com\/market-activity\/stocks\/googl\" rel=\"nofollow noopener\" target=\"_blank\">(NASDAQ: GOOGL)<\/a>.<\/p>\n<p><img decoding=\"async\" alt=\"Image of Warren Buffett.\" src=\"https:\/\/www.newsbeep.com\/il\/wp-content\/uploads\/2026\/01\/1768972571_64_.jpeg\"\/><\/p>\n<p class=\"caption\">Image source: The Motley Fool.<\/p>\n<p>Buffett finally got around to investing in Alphabet<\/p>\n<p>Buffett has long been a fan of Alphabet&#8217;s primary business, Google. However, over his long career, Berkshire didn&#8217;t invest in the company until 2025. Buffett and his team (it&#8217;s possible more tech-focused investors were the ones to purchase the stock) bought nearly 17 million shares of Alphabet stock during Q3. At today&#8217;s price, that&#8217;s about $6 billion worth of Alphabet stock. It&#8217;s about a 1.9% position in Berkshire&#8217;s overall investment portfolio, so it&#8217;s not an insignificant position.<\/p>\n<p>I think Berkshire is sending a clear message with this investment: Alphabet will be an AI winner. This wasn&#8217;t a foregone conclusion at the start of 2025, as Alphabet was well behind its peers in the <a href=\"https:\/\/www.fool.com\/terms\/g\/generative-ai\/?utm_source=nasdaq&amp;utm_medium=feed&amp;utm_campaign=article&amp;referring_guid=757839d1-e7b0-4ff4-8c5c-6e7cd9e83979\" target=\"_blank\" rel=\"nofollow noopener\">generative AI<\/a> race. Now it has caught up to the competition and is emerging as a leader in its field. This validates Berkshire&#8217;s investment decision, but is it too late to buy now?<\/p>\n<p>Alphabet&#8217;s price was far different when Berkshire purchased the stock<\/p>\n<p>Because investors don&#8217;t have instant access to information, we have to decide whether what other companies did in Q3 is a smart move now. A lot has changed with Alphabet stock since then.<\/p>\n<p>The earliest Berkshire could have purchased Alphabet shares during Q3 was July 1. Alphabet&#8217;s stock traded for about $175 back then &#8212; a far cry from the $330 it trades at today. By the end of Q3, Alphabet&#8217;s stock had started to rise, and it traded for $243 on Sept. 30. <\/p>\n<p>That&#8217;s a massive range of stock prices, and it&#8217;s impossible to know when Berkshire made its purchase of Alphabet stock. The biggest event that occurred in Q3 was the resolution of Alphabet&#8217;s monopoly case in court. There were fears that Alphabet&#8217;s business could be broken up, but the judge ordered only minor changes to Alphabet&#8217;s business model, keeping it mostly intact. This kick-started a rally, and if Buffett got in before this news dropped, he maximized his gains.<\/p>\n<p>However, that positive news piece has been fully priced into Alphabet&#8217;s stock, as it now trades for about 30 times <a href=\"https:\/\/www.fool.com\/terms\/f\/forward-pe\/?utm_source=nasdaq&amp;utm_medium=feed&amp;utm_campaign=article&amp;referring_guid=757839d1-e7b0-4ff4-8c5c-6e7cd9e83979\" target=\"_blank\" rel=\"nofollow noopener\">forward earnings<\/a>.<\/p>\n<p><a href=\"https:\/\/ycharts.com\/companies\/GOOGL\/chart\/\" rel=\"nofollow noopener\" target=\"_blank\"><img decoding=\"async\" alt=\"GOOGL PE Ratio (Forward) Chart\" src=\"https:\/\/www.newsbeep.com\/il\/wp-content\/uploads\/2026\/01\/1768972572_407_.png\"\/><\/a><\/p>\n<p class=\"caption\"><a href=\"https:\/\/ycharts.com\/companies\/GOOGL\/forward_pe_ratio\" rel=\"nofollow noopener\" target=\"_blank\">GOOGL PE Ratio (Forward)<\/a> data by <a href=\"https:\/\/ycharts.com\" rel=\"nofollow noopener\" target=\"_blank\">YCharts<\/a><\/p>\n<p>That&#8217;s very different from the 20 times forward earnings Alphabet traded beneath for most of Q3. So if investors choose to buy the stock now, they are going to pay a premium. However, I think it&#8217;s worth it. Thirty times forward earnings has become the standard for big tech companies, so while it&#8217;s not undervalued, I don&#8217;t think it&#8217;s overvalued, either. <a href=\"https:\/\/www.fool.com\/investing\/how-to-invest\/stocks\/list-of-companies-that-alphabet-google-owns\/?utm_source=nasdaq&amp;utm_medium=feed&amp;utm_campaign=article&amp;referring_guid=757839d1-e7b0-4ff4-8c5c-6e7cd9e83979\" target=\"_blank\" rel=\"nofollow noopener\">Alphabet is also leading the way in several fields<\/a> and putting up strong growth as well.<\/p>\n<p>I think all of this combines for a successful stock pick, and while you won&#8217;t get the massive returns investors who bought around the same time as Buffett did, I think it can beat the market.<\/p>\n<p>Should you buy stock in Alphabet right now?<\/p>\n<p>Before you buy stock in Alphabet, consider this:<\/p>\n<p>The Motley Fool Stock Advisor analyst team just identified what they believe are the <a href=\"https:\/\/api.fool.com\/infotron\/infotrack\/click?apikey=35527423-a535-4519-a07f-20014582e03e&amp;impression=28aef285-900f-4789-a3fb-9206ac5edbee&amp;url=https%3A%2F%2Fwww.fool.com%2Fmms%2Fmark%2Fe-sa-bbn-dyn-headline%3Faid%3D8867%26source%3Disaeditxt0001178%26company%3DAlphabet%26ftm_cam%3Dsa-bbn-evergreen%26ftm_veh%3Darticle_pitch_feed_partners%26ftm_pit%3D18725&amp;utm_source=nasdaq&amp;utm_medium=feed&amp;utm_campaign=article&amp;referring_guid=757839d1-e7b0-4ff4-8c5c-6e7cd9e83979\" rel=\"nofollow noopener\" target=\"_blank\">10 best stocks<\/a> for investors to buy now\u2026 and Alphabet wasn\u2019t one of them. The 10 stocks that made the cut could produce monster returns in the coming years.<\/p>\n<p>Consider when Netflix made this list on December 17, 2004&#8230; if you invested $1,000 at the time of our recommendation, you\u2019d have $474,578!* Or when Nvidia made this list on April 15, 2005&#8230; if you invested $1,000 at the time of our recommendation, you\u2019d have $1,141,628!*<\/p>\n<p>Now, it\u2019s worth noting Stock Advisor\u2019s total average return is 955% \u2014 a market-crushing outperformance compared to 196% for the S&amp;P 500. Don&#8217;t miss the latest top 10 list, available with Stock Advisor, and join an investing community built by individual investors for individual investors.<\/p>\n<p><a class=\"ticker_pitch\" href=\"https:\/\/api.fool.com\/infotron\/infotrack\/click?apikey=35527423-a535-4519-a07f-20014582e03e&amp;impression=28aef285-900f-4789-a3fb-9206ac5edbee&amp;url=https%3A%2F%2Fwww.fool.com%2Fmms%2Fmark%2Fe-sa-bbn-dyn-headline%3Faid%3D8867%26source%3Disaeditxt0001178%26company%3DAlphabet%26ftm_cam%3Dsa-bbn-evergreen%26ftm_pit%3D18725%26ftm_veh%3Darticle_pitch_feed_partners%26company%3DAlphabet&amp;utm_source=nasdaq&amp;utm_medium=feed&amp;utm_campaign=article&amp;referring_guid=757839d1-e7b0-4ff4-8c5c-6e7cd9e83979\" rel=\"nofollow noopener\" target=\"_blank\">See the 10 stocks \u00bb<\/a><\/p>\n<p class=\"disclaimer\" style=\"font-size: 0.65rem; color: #767676; margin-top: 5px; text-align: left;\">*Stock Advisor returns as of January 20, 2026. <\/p>\n<p><a href=\"https:\/\/www.fool.com\/author\/20439\/\" rel=\"nofollow noopener\" target=\"_blank\">Keithen Drury<\/a> has positions in Alphabet. The Motley Fool has positions in and recommends Alphabet and Berkshire Hathaway. The Motley Fool has a <a href=\"https:\/\/www.fool.com\/legal\/fool-disclosure-policy\/\" rel=\"nofollow noopener\" target=\"_blank\">disclosure policy<\/a>.<\/p>\n<p class=\"body__disclaimer\">The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.<\/p>\n","protected":false},"excerpt":{"rendered":"Key Points Berkshire has long eyed Alphabet as a potential investment opportunity. Alphabet&#8217;s stock has rallied since Berkshire&hellip;\n","protected":false},"author":2,"featured_media":85953,"comment_status":"","ping_status":"","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[20],"tags":[345,343,344,85,46,125],"class_list":["post-249357","post","type-post","status-publish","format-standard","has-post-thumbnail","category-artificial-intelligence","tag-ai","tag-artificial-intelligence","tag-artificialintelligence","tag-il","tag-israel","tag-technology"],"_links":{"self":[{"href":"https:\/\/www.newsbeep.com\/il\/wp-json\/wp\/v2\/posts\/249357","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.newsbeep.com\/il\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.newsbeep.com\/il\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/il\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/il\/wp-json\/wp\/v2\/comments?post=249357"}],"version-history":[{"count":0,"href":"https:\/\/www.newsbeep.com\/il\/wp-json\/wp\/v2\/posts\/249357\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/il\/wp-json\/wp\/v2\/media\/85953"}],"wp:attachment":[{"href":"https:\/\/www.newsbeep.com\/il\/wp-json\/wp\/v2\/media?parent=249357"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.newsbeep.com\/il\/wp-json\/wp\/v2\/categories?post=249357"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.newsbeep.com\/il\/wp-json\/wp\/v2\/tags?post=249357"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}