It becomes clear to the enlargement Alphabet(NASDAQ: Googl)(NASDAQ: GOOG) It was a great winner for investors. Over the past five years, the shares increased by 144% and increased by 525% in the last ten years. Being a dominant internet facility resulted in some very happy shareholders.
However, on May 28, this article will benefit from this article on February 4, following 16% of the best Technology Foundation below, this is the market’s pessiism and get it from the alphabet?
Picture source: Alphabet.
By the spread of generative artificial intelligence Instruments in the vehicles, investors, investors, the jewelry jewelry of the alphabet, which represents 56% of the sales in the first quarter, was rightly concerned about Google search. Because users are believed to be converted to AI more whenever the users are looking for a search of Google. In turn, this advertisement may have a negative impact on income.
So far these fears are over. Off first, Google search still gives the global 90% large command market share when it comes to search engines. In addition, Google search revenue increased by 10% a year in the next year. And $ 50.7 billion sales figure is 28% from the same period three years ago.
Finally, it is worth showing that the laurels of the alphabet are not resting. The company made a priority of AI clearly. In May, the annual Google I / O Developer did not disappoint the alphabet. During the staff, 100 notes of the new AI features were announced.
The alphabet already finds ways to make money from AI. “For AI Views
When it comes to advertising customers, it helps to create more effective marketing campaigns that can increase your return to increase and increase the ability to spend aI.
The alphabet, the alphabet has earned $ 34.5 billion net income. This puts great financial resources in a sensitive position to plow the AI initiatives to strengthen the competition position.
The alphabet is wide economic moat This is a key factor that emphasizes that a business is so prominent. The company uses powerful network effects within search and YouTube. There are invalid, intangible assets in the game as the ability to collect an incredible amount of information that can directly affect the alphabet and google brands, unparalleled technological knowledge and strategic decisions.
There is also a cost advantage with Google Cloud, especially. The platform requires giant fixed costs to create infrastructure. This explains why the segment is harmless for a long time. However, this revenue was scale for $ 49 billion in the annual processing rate in Q1, and increases the Google Cloud Subline. In the first three months of 2025, the operating income was $ 2.2 billion.
Google Cloud customers also deal with high transition expenses. Once upon a time when the mission-critical IT partner of the plane and the alphabet is a critical IT partner, it feels that they will not want to cause potential violations.
Investors will see that the alphabet is very difficult to ignore the evaluation. Price-earnings (P / E) ratio shares in 19.2. This is a discount on you S & P 500 indexGiven the quality of this work, it does not seem to be just guaranteed. And all “Magnificent seven“Shares are the cheapest in the alphabet.
Finding such a big deal in the stock exchange can think that investors do not look at anything. But it’s best to overcome the situation. The alphabet is a smart purchase while in the swamp.
Review this before receiving a stock in the alphabet:
This Attley Stock letter Analyst group, only determined they believed 10 best stocks Investors now have to get … and the alphabet was not from them. 10 shares that create the cut can return the monster in the coming years.
Think about whenNetflixHe did this list on December 17, 2004 … If you invest $ 1,000 in the period,You will receive $ 651,049! * Or when NvidiaHe did this list on April 15, 2005 … If you invest $ 1,000 in the period,You will receive $ 828,224! *
Now it should be notedStock consultantTotal average returns979% – a market crusher in comparison171%For S & P 500. Don’t miss on the top 10 list available when you joinStock consultant.
* The stock consultant returns May 19 as of May 19, 2025
An executive President Suzanne Frey in the alphabet is a member of the Board of Directors. Neil Patel There is no position in any of the marked shares. Motley has Foox positions and recommends the alphabet. Motley Fool has a Disclosure Policy.
