Apple stock gains 3.2% as Alphabet plans 180 billion AI spending

Key Takeaways

• Apple's stock gained 3.2% on February 17, 2026, and its 40-day correlation to the Nasdaq 100 Index fell to 0.21, due to its strategy of not heavily investing in the AI arms race.
• Apple reported $143.8 billion in revenue for the three months ending December, a 16% increase, driven by strong iPhone sales, despite its cautious AI stance.
• Saudi Arabia's Humain invested $3 billion in Elon Musk's xAI on February 18, 2026, making it a significant minority shareholder whose holdings converted into SpaceX shares.
• Humain and xAI previously committed to jointly develop over 500MW of AI data center infrastructure in Saudi Arabia, and Humain partnered with AMD and Cisco Systems.
• A dispute is growing between the Pentagon and Anthropic over the use of its Claude AI tools, with a venture firm declining to invest in Anthropic's $30 billion funding round.
• Alphabet plans to double its AI spending to $180 billion this year, reflecting ongoing concerns about companies overinvesting in AI.
• Nebius Group, which builds data centers with Nvidia processors, received a "buy" rating from Compass Point, with its annual recurring revenue projected to reach $7-$9 billion by late 2026.
• Nebius has hyperscaler agreements with Microsoft and Meta, anchoring demand visibility for its AI infrastructure.
• SoundHound AI achieved 68% revenue growth in Q3 2025, demonstrating strong performance in combining audio recognition with AI.
• ROBAM unveiled AI-powered kitchen products, including a range hood utilizing the Culinary Master AI Mega Model, at the KBIS show on February 18, 2026.

Apple's AI-free approach attracts Wall Street investors

Apple's decision to not heavily invest in the AI arms race is making it attractive to Wall Street investors. The company is seen as an alternative to tech stocks that depend on the AI boom for growth. Apple's stock is up about 7% over the past 30 days, while Microsoft and Alphabet are down. Its core hardware business, including the Mac Mini, is less likely to be disrupted by generative AI. Apple reported $143.8 billion in revenue for the three months ending December, a 16% increase year over year, driven by strong iPhone sales.

Apple stock separates from Nasdaq amid AI market fears

Apple's 40-day correlation to the Nasdaq 100 Index fell to 0.21 last week, its lowest since 2006. This decoupling is due to Apple largely avoiding the AI arms race, making it an outlier among its rivals. Art Hogan, chief market strategist at B. Riley Wealth, sees Apple's lack of correlation as a positive for nervous investors. On Tuesday, Apple's stock gained 3.2%, while the Nasdaq 100 Index dropped 0.1%. Wayne Kaufman of Phoenix Financial Services noted that hardware carries less risk than software, and AI cannot easily replace an iPhone.

Apple's AI approach provides investor choice

Apple's AI strategy offers investors an alternative amid widespread anxiety about artificial intelligence. Its correlation to the Nasdaq 100 Index has declined, which Art Hogan of B. Riley Wealth considers a positive. Apple is not engaging in the massive capital expenditure on AI data centers like its competitors. The company also has no significant business lines at risk from new AI products. Apple reported record quarterly sales last month, largely due to the iPhone, and CEO Tim Cook stated they are accelerating work on generative AI.

Saudi firm Humain invests 3 billion dollars in Elon Musk's xAI

Saudi Arabia's state-backed AI company, Humain, announced a $3 billion investment in Elon Musk's xAI on February 18, 2026. This investment made Humain a significant minority shareholder in xAI, with its holdings later converted into shares in SpaceX. The deal occurred just before Musk combined xAI with SpaceX, and he plans an initial public offering for the merged company later this year. This gives Saudi Arabia a stake in SpaceX, a key US government contractor. Humain, created by Crown Prince Mohammed bin Salman, aims to diversify the country's economy and has partnered with Advanced Micro Devices and Cisco Systems.

HUMAIN invests 3 billion dollars in xAI before SpaceX merger

HUMAIN, a PIF company from Saudi Arabia, announced a $3 billion strategic investment in xAI's Series E financing round on February 18, 2026. This significant capital deployment happened before xAI's acquisition by SpaceX in early February. As a result, HUMAIN became a significant minority shareholder in xAI, with its holdings converting into SpaceX shares. Tareq Amin, CEO of HUMAIN, stated this investment reflects their belief in transformative AI and supporting high-impact platforms. This builds on a November 2025 partnership where HUMAIN and xAI committed to jointly develop over 500MW of AI data center infrastructure in Saudi Arabia.

Pentagon and Anthropic clash over AI tool use

A dispute is growing between the Pentagon and AI company Anthropic regarding the use of its Claude AI tools. The Pentagon may ask contractors to certify they do not use Anthropic's Claude. This tension escalated after 1789 Capital, a pro-Trump venture firm, decided not to invest in Anthropic's recent $30 billion funding round. The firm cited ideological reasons for its decision. Dario Amodei, Anthropic's chief executive, has stated that the company does not have political motivations.

US stocks rise slightly despite AI and economic concerns

US stocks edged higher on Tuesday, February 17, 2026, after a day of significant swings driven by worries about AI and the economy. The S&P 500, Dow Jones industrial average, and Nasdaq composite all posted small gains. Paramount Skydance rose 4.9% after Warner Bros. Discovery allowed it to make a final bid to buy the entertainment company. General Mills stock fell 7% after warning about uneasy customers, and Genuine Parts dropped 14.6% after reporting weaker results. Investors are concerned about companies overinvesting in AI, with Alphabet planning to double its AI spending to $180 billion this year.

Three risky AI stocks offer millionaire potential

This article highlights three high-risk, high-potential-reward AI stocks that could offer millionaire-maker returns. SoundHound AI, which combines audio recognition with AI, achieved 68% revenue growth in the third quarter of 2025. Nebius builds data centers with Nvidia processors and rents them, expecting its annual recurring revenue to jump from $1.25 billion in 2025 to between $7 billion and $9 billion by the end of 2026. IonQ is a quantum computing company, representing the riskiest but potentially most rewarding of the three. These stocks are for investors who can handle volatility and are looking for significant upside.

Compass Point recommends buying Nebius AI stock

Compass Point initiated a "buy" rating for Nebius Group, an AI infrastructure stock, with a price target of $150, implying a 54% upside. Analyst Michael Donovan stated that Nebius has an advantage in scaling powered data center capacity, the scarcest part of the software stack. The company's full-stack model, built around Nvidia's latest platforms, supports predictable performance and high utilization for AI workloads. Hyperscaler agreements with Microsoft and Meta anchor demand visibility for Nebius. Its shares have already surged 103% over the past 12 months and 17% this year.

S&P 500 rises as traders seek AI winners

US equities, including the S&P 500, rose sharply on Wednesday, February 18, 2026, after a period of AI caution. This rebound was fueled by strong US economic data and positive developments from Big Tech giants. Kevin Gordon, head of macro research and strategy at Charles Schwab & Co Inc, noted that investors are sticking with resilient sectors like semiconductors and buying oversold software stocks. Wall Street's concerns about AI shifted from doubts about monetization to fears of AI disrupting various business models. Traders are now hunting for potentially cheap stocks after the S&P 500's largest weekly drop since November.

ROBAM unveils AI kitchen products at KBIS show

ROBAM, a global leader in premium kitchen appliances, showcased its new R-Max 3 range hood series and AI-powered kitchen products at the KBIS show in Orlando on February 18, 2026. The company has ranked first in global range hood sales for 11 consecutive years. The R-Max 3 series offers powerful suction up to 1400 CFM and an A++ filter that separates over 98% of heavy oil and grease. ROBAM also launched an under-cabinet powerful range hood tailored for the US market. Its AI-powered range hood, centered on the Culinary Master AI Mega Model, acts as an active "Kitchen Air Steward" with perception, decision-making, and execution capabilities.

Sources

• Apple’s Lack of Interest in AI Hype Is Suddenly Making It Attractive to Wall Street
• Apple Decouples From Nasdaq as AI ‘Whack-a-Mole’ Grips Market
• Apple’s AI Strategy Offers Alternative for Investors
• Elon Musk’s xAI Gets $3 Billion Investment From Saudi-Backed A.I. Firm
• HUMAIN Backs xAI with $3 Billion Series E Investment Ahead of Historic SpaceX Merger
• ‘Woke’ AI Feud Escalates Between Pentagon and Anthropic
• Stocks edge higher after swinging through worries about AI and the economy
• 3 Long-Shot AI Stocks That Could Make You a Millionaire
• Buy this AI infrastructure stock that has doubled in the past year, says Compass Point
• S&P 500 Climbs After Bout of AI Caution as Traders Seek Winners
• Global Bestseller for 11 Years: ROBAM Showcasing Kitchen AI Products at KBIS