This FAANG Stock Is Down 35%; Buying It Could Be a Genius Move

This market is taking no prisoners. Whether you own shares of a newly public company or one of the world's most dominant technology enterprises like Alphabet (NASDAQ: GOOG), it's been a rough year. Specifically, Alphabet is down 35% from its high, its largest decline since the Great Recession.

But it's not just a market issue. Companies that advertise to make money, like Alphabet, are pointing out economic turbulence on the horizon and bracing for a more challenging operating environment. It can sound cliched, but leaning into the fear and buying Alphabet could be a decision you're bragging to your friends about when things eventually turn around. Here is why.

Alphabet makes most of its money by selling ads on its two most popular internet platforms, Google Search and YouTube. Traffic is a vital part of that; the more eyeballs you have, the more you can charge for your ads. However, the total money companies spend on ads, which you can think of as a pie, can fluctuate in size. Companies might advertise more when the economy is doing well, and potential customers are spending more. On the other hand, ad budgets might shrink when the economy is doing poorly, and people aren't spending as much.

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Source Fool.com