President Donald Trump's investment portfolio expanded its exposure to artificial intelligence this year with new purchases of Alphabet and additional investments in Meta Platforms, two tech giants that analysts believe still have room to climb despite their dominant positions in the AI race.
According to financial disclosures filed with the U.S. Office of Government Ethics, investment accounts linked to Trump completed more than 6,200 stock trades through May. The accounts are managed by independent third-party financial advisers, meaning Trump does not make the individual investment decisions.
Among the notable additions were Alphabet, Google's parent company, with net purchases valued between $1.7 million and $3.6 million, and Meta Platforms, where the portfolio increased its holdings by an estimated $845,000 to $4.8 million.
Alphabet recently posted stronger-than-expected second-quarter results, underscoring the rapid expansion of its AI business. Revenue climbed 24% year over year to $119.7 billion, marking the company's sixth consecutive quarter of accelerating growth. Much of that momentum came from Google Cloud, where revenue surged 82% as businesses increasingly adopted AI-powered services.
Operating income also rose 30% to $40.7 billion, excluding unrealized gains tied to the company's investment in SpaceX. Chief Executive Officer Sundar Pichai highlighted growing adoption across Google's AI ecosystem during the company's earnings call.
Nearly 90% of Fortune 100 companies now use Gemini Enterprise, Google's platform designed to help businesses build AI agents and automate workflows. Meanwhile, more than 9 million developers use Gemini models each month, while AI-powered Search features such as AI Overviews and AI Mode continue driving higher user engagement.
Alphabet is also expanding beyond software. The company has begun selling its custom Tensor Processing Units, or TPUs, directly to select customers rather than limiting access through Google Cloud.
However, shares trade at roughly 18 times earnings, well below the company's five-year average multiple of about 24 times earnings. Wall Street expects Alphabet's earnings to grow around 14% annually over the next three years, while the median analyst price target of $425 suggests approximately 20% upside from recent trading levels.
Meta Platforms also remains a favorite among analysts, even after a volatile earnings report that initially disappointed investors. The Facebook and Instagram parent reported second-quarter revenue of $60.8 billion, up 28% from a year earlier and ahead of analyst expectations.
However, profits came under pressure as operating margins narrowed and net income declined 13%. Executives attributed much of the earnings decline to one-time legal expenses, severance costs and aggressive investments in AI infrastructure, expenditures the company argues will fuel future growth.
Chief Executive Officer Mark Zuckerberg said artificial intelligence is now improving virtually every part of Meta's business, from enhancing user experiences across its social media apps to boosting advertising performance and accelerating product development.
Looking ahead, Zuckerberg outlined plans to monetize AI through personal AI assistants and enterprise software. The company recently introduced Meta Business Agent, an AI tool designed to answer questions and automate workplace tasks. Meta is also exploring a cloud computing business that could rent excess data center capacity to outside customers, creating another potential revenue stream.
Wall Street remains optimistic about Meta's long-term outlook despite the recent sell-off. Analysts forecast earnings growth of roughly 21% annually over the next three years. The stock currently trades near 21 times earnings, while the median analyst price target of $770 implies about 39% upside from recent prices.
