Alphabet: Why An Antitrust Breakup Is Good

Bashar Issa
6.43K Followers

Summary

  • Alphabet's valuation is low despite its tech leadership, strong brand, and resilient business model, making it an attractive investment opportunity.
  • Fears about generative AI and LLMs threatening Google Search are overblown; Alphabet's ad business and new AI offerings remain robust and adaptive.
  • Alphabet's Gemini LLM and Google Cloud are leading in AI/ML, driving significant revenue growth and reinforcing the company's competitive edge.
  • Recent quarterly results show double-digit revenue and profit growth, with strong capital allocation and continued investment in AI infrastructure supporting future performance.

a Xiaomi smartphone that displays a collection of Google applications, Indonesia, 11 May 2024.

Anzz Media

Investment Thesis

Alphabet's (NASDAQ:GOOG) (NASDAQ:GOOGL) (TSX:GOOG:CA) defeat in antitrust court and perceived threat from LLMs to its search engine ad revenue fuel perceptions of an existential crisis. Our view is that, if anything, the rise

This article was written by

6.43K Followers
Bashar is a contributing writer at Seeking Alpha, focusing on Long/Short investment ideas, with a geographic focus in North America. Before that, Bashar worked at an Investment Fund in the United Kingdom. He has a Master's degree in Finance from the Queen Mary University of London and a Bachelor's degree in Economics from Middlesex University.

Analyst’s Disclosure:I/we have no stock, option or similar derivative position in any of the companies mentioned, and no plans to initiate any such positions within the next 72 hours. 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.

Seeking Alpha's Disclosure: Past performance is no guarantee of future results. No recommendation or advice is being given as to whether any investment is suitable for a particular investor. Any views or opinions expressed above may not reflect those of Seeking Alpha as a whole. Seeking Alpha is not a licensed securities dealer, broker or US investment adviser or investment bank. Our analysts are third party authors that include both professional investors and individual investors who may not be licensed or certified by any institute or regulatory body.

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