- Markets
- Stocks
- GOOGL - Alphabet, Inc. - Class A (NASDAQ)
GOOGL
Alphabet, Inc. - Class A (NASDAQ)
How Apple is Affecting Alphabet?
The
strategy to open long positions for Google and short positions for Apple stocks
may become a balanced hedge opportunity in times of economic downturn. Apple
stock prices were expected to benefit from the development of VR and Apple car
segments, but there are no details on the progress on Apple cars so far. It is
not even clear if Apple will create these cars on its own or if it will cooperate
with third-party car manufacturers.
Alphabet, a
Google parent company, has already been testing self-driving vehicles in San
Francisco, and is cooperating with Uber Freight to facilitate highway unmanned
cargo transports. More than a half of the 4.1 million miles travelled by
self-driving vehicles in the United States last year were made by Alphabet
vehicles. Apple self-driven car prototypes may not appear before 2024.
Google
Glasses are created with technology that was bought together with Focal startup
in 2020. Together with Google cloud, Youtube and Waymo, an autonomous driving
technology development company, and also a subsidiary of Alphabet, revenues are
expected to grow fast over the coming years. The revenues of Alphabet are
expected to add 19% in 2023 vs 6.5% by Apple, in 2024 they are planned to grow
by 13.8% and 5.5% respectively. In other words, revenues of Alphabet are
expected to grow three times more than Apple, while their P/E ratio in 2022 is
expected at 14 and 20 respectively.
The
mid-term target price for GOOGL shares is at $2,700.
Alphabet, Inc. - Class A (NASDAQ)
Ticker | GOOGL |
Contract value | 100 shares |
Maximum leverage | 5 |
Date | Short Swap (%) | Long Swap (%) | No data |
---|
Minimum transaction volume | 0.01 lot |
Maximum transaction volume | 100 lots |
Hedging margin | 50% |