Alphabet Stock Plummets, But Analysts See Perfect Time to Buy

Alphabet's stock is down about 15% from its all-time high, making it an attractive buy opportunity. According to analysts, Alphabet has a strong growth potential driven by its investment in Google Cloud and large language models.

The company's Q3 earnings, set to be announced later this month, could drive the stock to a fresh all-time high. Google Cloud revenue growth is expected to cross into the triple-digit territory, leading to soaring revenue and profits for Alphabet.

Alphabet's price-to-earnings ratio is skewed due to a recent investment from Space Exploration Technologies and an impending Anthropic IPO. However, its cash from operations is a more reliable metric, with 22 times operating cash flow being a great price to pay compared to peers like Apple and Nvidia.