Stocks
Alphabet Stock Drops to Bargain Price Amid Record Growth
Alphabet's stock price has dropped to $343.80, making it a potential bargain for investors.
The company's recent earnings report showed 24.2% revenue growth and 82% Google Cloud growth, but its forward P/E ratio remains at just 17.
This is a mismatch compared to Microsoft, which trades at a trailing P/E of 28, despite Alphabet growing revenue faster in the most recent quarter.
One possible explanation for this discrepancy is that investors are concerned about Alphabet's increasing capex and long-term debt, which has nearly doubled to $98 billion.