Kenneth Cheung
Thesis: Bing's slow increase in search engine market share could undermine efforts to break Alphabet up, and while AI is seen as a threat to the Google search engine, I believe it's more of a positive opportunity for the company.
Alphabet: Bing And AI Come To The Rescue
Summary
- I view Alphabet as undervalued, especially compared to other Magnificent 7 stocks, despite recent AI-related fears impacting its share price.
- AI is more of an opportunity than a threat for Google, with the company maintaining a leadership position in AI technology and integration.
- Bing's recent market share gains actually help Google by weakening monopoly arguments and reducing regulatory breakup risks.
- GOOG's strong fundamentals, healthy balance sheet, and reasonable valuation make it a strong buy, with significant long-term growth potential.
Markets rise and fall, booms come and go, and the world keeps ticking. Ultimately, I believe observing megatrends, as difficult as they can be to spot, let alone fully comprehend, can yield insights into the advance of human society, which in turn could pave the way for many useful investment insights. As society and technologies evolve, companies and other stakeholders will seize advantages. Figuring out which companies will take the best advantage of any given opportunities is not easy. I am especially interested in macrotrends, futurism, and increasingly, emerging technologies. However, as far as investing is concerned, it’s crucial to pay attention to the fundamentals, quality of leadership, product pipeline, and all the other details. In recent years, I have focused on marketing and business strategy, primarily for medium sized companies and startups. I have worked in international development, including overseas for a foreign Prime Minister’s office, as well as non-profit work in the United States. Among other tasks, I evaluated startups and emerging industries/technologies. I have also moonlighted as a technology and economic news journalist. Now I’m looking to tie everything together. While my personal interests will always keep megatrends and technological developments in mind, I do believe fundamentals and technicals are vital to uncovering opportunities.
Analyst’s Disclosure:I/we have a beneficial long position in the shares of GOOG, AMZN either through stock ownership, options, or other derivatives. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it (other than from Seeking Alpha). I have no business relationship with any company whose stock is mentioned in this article.
I may add META soon.
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