Alphabet (GOOGL) maintained its $83.7 billion stake in Elon Musk’s SpaceX (SPCX) in the third quarter and reported a new $548 million stake in Qualcomm (QCOM). Its November 6 filing showed 555 million SpaceX shares and nearly 3 million Qualcomm shares. SpaceX remained Alphabet’s largest disclosed stock holding, making up nearly 95% of its reported portfolio. Meanwhile, Alphabet’s new Qualcomm stake also comes as the chipmaker expands its AI data-center business and deepens its partnership with Google..
Alphabet’s SpaceX Stake Is Worth Nearly $84 Billion
Alphabet first invested $900 million in SpaceX in January 2015. Its latest filing showed the holding grew to 555.04 million shares from 551.19 million in June. The position was valued at $83.73 billion on September 30, despite a 12% decline in SpaceX’s share price during the quarter. Its value had grown nearly 93-fold from the initial investment.
Alphabet added 3.85 million SpaceX shares during the quarter. The holding accounted for nearly the entire value of its disclosed stock portfolio.
Alphabet Adds Qualcomm as AI Partnership Expands
Alphabet disclosed 2,976,982 Qualcomm shares valued at approximately $547.9 million. The position appeared as a new holding in its quarterly filing.
Meanwhile, the two companies are expanding their AI partnership. The collaboration aims to bring Gemini Intelligence to Android devices powered by Snapdragon chips. Google already develops its own Tensor Processing Units (TPUs), but Qualcomm could help it bring Gemini to more devices.
Qualcomm’s latest results show why AI offers another growth avenue. Fiscal fourth-quarter revenue fell 8% year over year to $10.3 billion. Non-GAAP earnings declined 28% to $2.17 per share, while handset chip revenue dropped 26% to $5.14 billion.
Qualcomm is also building its data-center business. It expects revenue from the segment to reach $5 billion in fiscal 2027 and $15 billion by fiscal 2029. Amazon (AMZN) has agreed to buy up to $60 billion in AI chips and related products, while Microsoft (MSFT) and Meta Platforms (META) have also placed orders. Its automotive business is growing too, with quarterly revenue rising 89% to a record $1.99 billion.
Wall Street Ratings on GOOGL, SPCX, and QCOM Stocks
According to TipRanks’ Stock Comparison Tool, GOOGL and SPCX stocks have Strong Buy consensus ratings, while QCOM stock has a Hold rating. GOOGL’s average price target of $398.30 implies 39.86% upside. SPCX’s average price target of $253.57 suggests 88.85% upside. Meanwhile, QCOM’s average price target of $191.59 points to 15.83% upside.
