From Nasdaq: 2025-04-14 06:00:00

Alphabet’s stock has dropped due to tariff-related uncertainty, making it the cheapest of the Magnificent Seven stocks with a P/E ratio below 20. Despite concerns about generative AI impacting Google Search, the service has still seen double-digit growth in the past year.

With high-growth businesses like YouTube and Google Cloud, Alphabet is also making strides with its autonomous robotaxi service, Waymo. The recent launch in Austin, Texas, has been a success, with Waymo rides through the Uber app accounting for 20% of all Uber rides in the city.

The rise of autonomous ride-hailing platforms poses a challenge to Uber, which divested its autonomous driving unit to Aurora in 2020. Through a partnership with Waymo, Uber is boosting adoption and revenue, but the revenue share arrangement between the two companies remains undisclosed.

The adoption of Waymo in Austin is promising for Alphabet, potentially adding a fourth major leg to its business alongside Search, YouTube, and Google Cloud. With Alphabet’s stock cheaper than Uber’s, investors may find it to be the better pick of the two heavyweights.

For investors looking to buy stock in Alphabet, it’s worth noting that it wasn’t among the 10 best stocks recently identified by The Motley Fool Stock Advisor team. The team’s top picks have historically produced significant returns, outperforming the S&P 500 by a wide margin.



Read more at Nasdaq: Waymo Is Taking Off Fast in Austin, Texas. Here’s Why That’s Great News for Alphabet — and Even Better News for Uber.