Alphabet: A Defensive Growth Compounder In Hibernation

Summary

• Alphabet is currently trading at a relative discount to its comparable big tech peers, despite strong fundamentals and a competitive advantage in capturing secular AI tailwinds.
• Its increasingly diversified revenue streams in recent years have also reduced the core ad business' inherent cyclical exposure, positioning Google to outperform amid macro and geopolitical instability.
• Retrospective findings on key investment strategies also validate that quality growth names like Google have consistently delivered alpha in uncertain markets, and outperformed traditional defensive categories like consumer staples.
• Taken together, Google offers investors a rare entry point into a resilient growth compounder with long-term upside from current levels.

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Markets have been gripped by volatility as of late, amidst escalating geopolitical tensions and ongoing macroeconomic uncertainties. The familiar pattern of sharp selloffs only to be followed by swift and steep reversals, and vice versa has been a common theme. This was evident in

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