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alphabet: Long Term Strategic Powerhouse

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davidlsanderNot Invested
Community Contributor

Published

November 01 2024

Updated

December 12 2024

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Alphabet, the parent company of Google, has consistently demonstrated its prowess in innovation and strategic foresight. While the recent quarterly results have showcased impressive financial performance, it's the company's relentless pursuit of long-term value creation that truly sets it apart.

Alphabet's substantial investments in Research and Development (R&D) is a key driver of this value creation. This strategic focus has borne fruit, with projects like Waymo leading the autonomous vehicle industry and positioning Alphabet at the forefront of transportation's future. Moreover, the company's foray into quantum computing and advancements in AI, epitomized by the powerful language model LaMDA and other groundbreaking tools, underscores its commitment to technological leadership.

It's important to recognize that Alphabet's strategic approach often extends beyond the immediate horizon. This long-term perspective has led to investments in diverse, high-potential ventures. One such example is SpaceX, where Alphabet's 7.5% stake highlights its foresight and ability to identify and nurture disruptive technologies.

While the market may not always fully appreciate Alphabet's strategic vision in the short term, the company's track record of delivering sustainable value to shareholders is undeniable. As the digital landscape continues to evolve, Alphabet's innovative spirit and unwavering commitment to R&D position it as a cornerstone of technological progress and a compelling investment opportunity.

Investors probably don't see the wide economic moat that Alphabet has built themselves. They look after their employees and exemplify long term strategic thinking

There is so much hidden long term value in each share.

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Disclaimer

The user davidlsander holds no position in NasdaqGS:GOOGL. Simply Wall St has no position in any of the companies mentioned. The author of this narrative is not affiliated with, nor authorised by Simply Wall St as a sub-authorised representative. This narrative is general in nature and explores scenarios and estimates created by the author. The narrative does not reflect the opinions of Simply Wall St, and the views expressed are the opinion of the author alone, acting on their own behalf. These scenarios are not indicative of the company's future performance and are exploratory in the ideas they cover. The fair value estimates are estimations only, and does not constitute a recommendation to buy or sell any stock, and they do not take account of your objectives, or your financial situation. Note that the author's analysis may not factor in the latest price-sensitive company announcements or qualitative material.

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10.00%
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