Tesla slumps, Alphabet jumps: Google’s parent company stock gains 3% on AI spend, Tesla drops 9% after Q2 result

Tesla and Alphabet stocks delivered sharply contrasting movements on Thursday, sending their shares in opposite directions and exposing choppy undercurrents beneath Wall Street’s calm surface.

Alphabet rallied 3.1% after it beat quarterly profit estimates and announced a $10 billion increase in AI chip and infrastructure investment this year, taking its total to $85 billion. The move buoyed other AI-related stocks, including Broadcom.