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$Alphabet(GOOG)$ has just suffered a brutal double digit haircut, tumbling 20% below its recent all time high of USD 404 to USD 343. The financial talking heads are treating the world's undisputed king of information like a failing tech startup.
They may be panicking but I am buying.
Why Alphabet is a great buy right now?
Google still commands over 90% of global internet search & 95% of smartphone search traffic. People don't "Bing" things. They Google them. That digital real estate is a literal licence to print ad revenue.
Google Cloud revenue exploded by 82% to USD 24.8 billion last quarter. Its operating profit more than tripled to USD 8.8 billion.
At USD 343 per share, Alphabet is trading at a P/E ratio of just 17. It is deeply undervalued compared to its mega cap peers.
Investing is about zooming out. This is a golden opportunity to buy Alphabet at a massive discount because it decides to invest heavily into its own future.
@Tiger_comments @TigerStars
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