Alphabet (NASDAQ: GOOG)(NASDAQ: GOOGL) is one of the most influential companies in the world. But its valuation hasn't been immune to recent pressures that are creating turbulence for the stock market, and investors might be wondering what comes next. Read on to see two Motley Fool contributors present bull and bear cases for the tech giant's stock.
Parkev Tatevosian: My bull case for Alphabet centers around its dominant position in a massive industry and its inexpensive valuation. Indeed, advertisers spent $763 billion globally in 2021 (excluding political ads), according to an estimate from GroupM. That was 23% higher than what they spent in the previous year. Moreover, the world will always have enterprises and institutions (and politicians) seeking to influence people's decisions through ads.
Alphabet's dominant position in this industry with Google and YouTube stands to benefit from this high demand. Google has an 85.5% market share for search engines worldwide. Meanwhile, YouTube has 2.5 billion monthly active users.
Source Fool.com