Better Buy: Facebook vs. Google

Facebook (NASDAQ: FB) and Google parent Alphabet (NASDAQ: GOOGL)(NASDAQ: GOOG) were the two worst-performing FAANG stocks in 2020, trailing far behind Apple (NASDAQ: AAPL), Amazon (NASDAQ: AMZN), and Netflix (NASDAQ: NFLX) during the onset of the COVID-19 pandemic.

Between Facebook and Alphabet's reliance on advertising (which tends to take a hit during a recession) and regulatory concerns (both are facing lawsuits and possible break-ups of their businesses), this underperformance makes sense. However, both companies are flush with cash and could be in line for a big rebound as digital advertising continues to take over traditional ads. Which is the better buy?

Continue reading


Source Fool.com