Alphabet Inc Class A
GOOGL: XNAS (USA)
| Morningstar Rating for Stocks | Fair Value | Economic Moat | Capital Allocation |
|---|---|---|---|
| $273.00 | Nrlht | Fznzqwzjxv |
Macro Headwinds Keep Pressure on Alphabet’s Advertising; Cloud Remains the Bright Spot; $154 FVE
Business Strategy and Outlook
Alphabet dominates the online search market with 80%-plus global share for Google, via which it generates strong revenue growth and cash flow. We expect continuing growth in the firm’s cash flow, as we remain confident that Google will maintain its leadership in search. We foresee YouTube contributing more to the firm’s top and bottom lines, and we view investments of some of that cash in moonshots as attractive. Whether they will generate positive returns remains to be seen, but they do present significant upside.