Meta Platforms has potential to surpass Alphabet in market cap by 2035

From Yahoo Finance: 2025-04-19 17:04:00

Alphabet, the parent company of Google, has seen its stock rally over 480% in the past 10 years due to expanding advertising and cloud businesses. Analysts expect revenue and EPS to rise, but the company faces challenges from generative AI platforms and competition from social media and short video platforms.

Alphabet faces pressure from antitrust regulators, with the U.S. DOJ seeking to divest Chrome and restrict Google’s services on Android. These actions could impact the company’s growth and its defenses in the cloud and AI markets, potentially turning it into a slower-growth tech company like IBM.

Meta Platforms, owner of Facebook, Instagram, and WhatsApp, dominates the social networking market with 3.35 billion daily active users. Its revenue and EPS growth outpaced Alphabet due to its social media dominance, targeted ads, and strategic acquisitions. Meta faces fewer near-term challenges and is expanding into social commerce and virtual reality markets.

Meta and Alphabet trade at respective earnings multiples of 21x and 18x. Analysts estimate both companies will continue to grow, with Meta potentially overtaking Alphabet in market cap by 2035 if it accelerates growth and maintains its market position. However, Alphabet could face challenges in AI, cloud, and advertising markets.

The Motley Fool Stock Advisor team identified the 10 best stocks to buy, excluding Meta Platforms. These stocks have historically produced significant returns, outperforming the S&P 500. Investors should consider potential future growth and market trends when evaluating investment opportunities.



Read more at Yahoo Finance: 1 Stock That Will Be Worth More Than Alphabet 10 Years From Now