<div id="readability-page-1"><p>As AI becomes part of everyday online services, Wall Street is now more focused on which companies can turn AI spending into real returns. Two major firms — BMO Capital and JPMorgan — are both pointing to the same names for 2026: Amazon (AMZN) and Alphabet (GOOGL).</p><h3>Claim 50% Off TipRanks Premium and Invest with Confidence </h3><ul><li>Unlock  hedge-fund level data  and  powerful investing tools  designed to help you make smarter, sharper decisions  </li><li> Stay ahead of the market with  the latest news and analysis  so your portfolio is always positioned for maximum potential</li></ul> <p>Both banks believe these companies are well positioned to turn years of AI investment into real growth.</p> <h2><strong>2026 Is a Key Year for Amazon and AWS</strong></h2> <p>Amazon is best known for online shopping, but its biggest profit driver is Amazon Web Services (AWS), which powers cloud and AI workloads for companies around the world.</p> <p>BMO Capital expects more businesses to start using AI tools that actually perform tasks, not just generate answers. That trend benefits AWS, which provides the computing power behind many of these tools. The firm also noted that Amazon could make a large AI-related purchase next year, adding new capabilities instead of building everything in-house.</p> <p>Meanwhile, JPMorgan sees 2026 as a key year for Amazon, with investors looking for stronger returns after a period of heavy AI and infrastructure spending. The bank pointed out that Amazon's shares saw only modest gains in 2025, as rising capital spending weighed on sentiment.</p> <p>Looking ahead, JPMorgan expects Amazon to raise spending again in 2026 as big tech continues to pour money into AI. With costs rising, the bank believes investors will be focused on whether AWS revenue growth can move back toward the mid-20% range next year.</p> <h2><strong>Alphabet Brings AI Into Its Core Products</strong></h2> <p>Alphabet owns Google Search, YouTube, and Google Cloud, products used by billions of people every day.</p> <p>BMO Capital said that AI success in 2026 will depend on turning models into real value for users and businesses. The firm said Alphabet stands out because it can bring AI directly into widely used products like Search, advertising, and workplace software.</p> <p>At the same time, JPMorgan also sees 2026 as an important year for Alphabet, pointing to the rollout of AI-powered Search and wider use of Google's Gemini models. The bank is particularly upbeat on Google Cloud, noting that more companies are turning to Google's AI tools as they expand their own AI use.</p> <p>After a strong rally driven by AI excitement, JPMorgan said investors will now be watching for steady revenue and profit growth, rather than just new product launches. For Alphabet, the focus in 2026 will be on showing that AI can support growth across Search, Cloud, and advertising.</p> <h2><strong>Which Internet Stock Is Best to Buy Now?</strong></h2> <p>We use the TipRanks Stock Comparison tool to see how Wall Street analysts are rating Amazon and Alphabet, and which company they believe has the strongest upside.</p></div>

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<p>Wall Street analysts, including BMO Capital and JPMorgan, are optimistic about Amazon and Alphabet's growth in 2026 due to their AI investments. Amazon's AWS is expected to benefit from increased AI tool usage, while Alphabet aims to integrate AI into core products like Google Search and Cloud. Both firms highlight 2026 as a pivotal year for these companies, focusing on AI-driven revenue growth.</p>

- Wall Street is increasingly focused on companies that can convert AI investments into tangible returns, with BMO Capital and JPMorgan highlighting Amazon and Alphabet for 2026.  
- Amazon's growth is expected to be driven by its AWS division, which supports AI workloads, while Alphabet aims to integrate AI into its core products like Search and Google Cloud.  
- Both firms anticipate that 2026 will be pivotal for these companies, as they seek to demonstrate substantial revenue and profit growth following significant AI-related expenditures.

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