There are a few tech lords ruling our economy at the moment. Whether they specialize in e-commerce (Amazon) or search engine magic (Google), these companies are leading us towards a better future. There are other companies like Microsoft and Apple that rule the roost as well. But let's focus on the aforementioned corporations, shall we?
Jeff Bezos doesn't run the show at Amazon anymore. However, he has it set up for success nicely with Andrew Jassy. Currently, the Seattle-based company is building out last-mile logistics capabilities, expanding its network beyond its standard retailers. What does that mean? It means that Amazon has a stronger grip on what brands it can sell and what partnerships it can forge, making it a bigger force.
Don't forget that the e-commerce giant is also dabbling into the streaming wars through Amazon Prime. It even has a deal with the NFL to showcase Thursday Night Football games, giving it a platform to work with.
Meanwhile, Google, a.k.a. Alphabet, has a stranglehold of its own, dominating the internet and search engine sphere as we speak. The Silicon Valley company is well-versed in different projects, ranging from the metaverse to building a stronger phone. Alphabet (Google) looks to take complete control of the technology field and take hold of the American economy.
So which company is the better buy? If you're looking at a value standpoint, Alphabet is the better bet. The Silicon Valley giant has a better PEG ratio (1.33 to Amazon's 2.79) and better Price/Earnings than Amazon.
However, Amazon is better if you're looking for a growth stock. Its expected EPS growth is twice that of Alphabet's and has broader offerings. That includes Twitch, Amazon Prime streaming, and Whole Foods.
Still, I bought Alphabet the other day, mainly on its consistent revenue mark. Google makes a killing on advertising, even if it's annoying at times (looking at you, YouTube Premium). Amazon had trouble hitting the mark on revenue for most of the last fiscal year, causing concern for shareholders. But you can't go wrong with either stock for growth. Both have a firm grip on their respective industries and show no signs of slowing down. That's why it's best to have one, if not both, stocks in your portfolio for the long haul.