Which Is the Better Buy Today?
$Amazon (AMZN.US)$ and $Alphabet-C (GOOG.US)$ are two of the world’s most recognizable brands and Wall Street’s most coveted stocks, and the long-term trajectory of each blue-chip stock is still decidedly up. Plus, it’s estimated that roughly 40% of all web traffic is hosted by those two companies combined. But which looks like the better buy today, AMZN stock or GOOG stock?
Both stocks have share prices that are well into triple digits (over 2,900 for AMZN, over 2,600 for GOOG), at least until Amazon’s recently announced split. GOOG is clearly having the better year, up 24% in the last 12 months vs. a 5% decline for AMZN. However, over the last five years, AMZN has GOOG easily beat, with a 246% total return vs. a 209% total return.
Those are some impressive returns, especially when compared to the 78% return in the S&P 500 in the last five years. They’re the kind of returns that would make any growth investor happy. Now the question is: Can AMZN and GOOG repeat that performance over the next five years?
Both stocks have share prices that are well into triple digits (over 2,900 for AMZN, over 2,600 for GOOG), at least until Amazon’s recently announced split. GOOG is clearly having the better year, up 24% in the last 12 months vs. a 5% decline for AMZN. However, over the last five years, AMZN has GOOG easily beat, with a 246% total return vs. a 209% total return.
Those are some impressive returns, especially when compared to the 78% return in the S&P 500 in the last five years. They’re the kind of returns that would make any growth investor happy. Now the question is: Can AMZN and GOOG repeat that performance over the next five years?
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