Since its initial public offering in 2004, shares in Google -- now Alphabet (NASDAQ: GOOGL) (NASDAQ: GOOG) -- have enjoyed exponential growth. But the 2022 bear market was particularly challenging for the company, leaving its stock price down 26% over the past 12 months. Still, this innovative tech giant can overcome near-term challenges and regain its mojo. Let's explore how.

Like many technology companies, Alphabet's business surged at the height of the coronavirus pandemic, when stay-at-home shopping and government stimulus checks led to an economic boom. Its 2021, revenue soared 41% to $257.6 billion. And the company was a profit machine, generating an operating income of $78.7 billion -- among the highest in the world.

But like those of many tech companies, Alphabet's fortunes quickly reversed in 2022. For starters, the Federal Reserve embarked on its fastest rate-hike cycle in history. That hurt growth-stock valuations by reducing the discounted future value of their earnings, and corresponded with deteriorating fundamentals. 

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Source Fool.com