Investors looking for a unique way into the stock market’s artificial intelligence boom are finding an intriguing bank shot in what’s traditionally the most boring corner of the equities universe: utilities.
AI is the buzzword these days, with everyone from chipmakers to computer equipment manufacturers to car companies trying to paint themselves in its hopeful colors. It’s also driving the latest stock market rally, as investors saw this past week.
On Thursday, Meta Platforms shares had their worst performance since October 2022 after the company said it would spend far more than expected on developing AI. Then on Friday, Google parent Alphabet soared past $2 trillion in market valuation while Microsoft’s stock also gained after the firms showed progress on AI in their quarterly results.