Alphabet Stock: Still a No-Brainer Buy in 2025? | The Motley Fool
Briefly

Alphabet, the parent company of Google and YouTube, has experienced remarkable growth since its IPO in 2004, with shares soaring 6,560% and a current market cap of $2 trillion. The company's revenue is heavily driven by digital advertising, which accounted for 74% of its total revenue in the first quarter of 2025. Despite fears of AI disrupting Google's search capacity, its dominance remains strong, holding 90% of the global market. Additionally, Google Cloud's importance is growing, contributing significant profits and revenue growth, appealing to major enterprise clients.
Alphabet's journey since its IPO in 2004 highlights the significant returns for early investors, showcasing a stock price increase of 6,560% and a current $2 trillion market cap.
Despite concerns over AI disrupting traditional search engines, Alphabet maintains a 90% share in the search engine industry and continues to monetize effectively.
Alphabet's digital advertising revenue rose to $67 billion in Q1 2025, driven by increases in Google Search and YouTube, underscoring the importance of ads in its overall business.
Google Cloud is increasingly significant for Alphabet, evidenced by strong growth rates and notable enterprise clients like Charles Schwab, indicating robust performance and future potential.
Read at The Motley Fool
[
|
]