Here are the biggest moves by analysts in the field of artificial intelligence (AI) for this week.

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Alphabet is better positioned for the next phase of AI: BofA

Alphabet is the best-positioned stock for the next phase of artificial intelligence, as investor attention shifts away from pure capital spending intensity and towards monetization, returns, and sustainable competitive advantages, according to Bank of America.

BofA analysts stated that sentiment around AI capabilities, incremental revenue, and capex returns will continue to be a key factor for mega-cap internet stocks until 2026.

Although AI-related spending continues to rise dramatically, the team noted that leading hyperscalers are generating sufficient operational cash flow to fund investments internally, while selectively accessing debt markets to preserve balance sheet flexibility.

In this context, Alphabet stands out as "best positioned across all segments," analysts Justin Post and Nitin Bansal said in a note this week, citing the company’s depth in foundational models, custom silicon, enterprise cloud, and consumer distribution.

This breadth is becoming increasingly important as AI commerce matures and investors demand clearer evidence of sustainable returns, they added. BofA estimates that AI could unlock more than US$ 1 trillion in incremental revenue opportunities over the next five years.

The relative strength of Alphabet, according to analysts, rests on what they describe as four structural moats that are likely to define AI leadership in the long term: leadership in frontier models, consumer distribution, enterprise distribution, and custom silicon.

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