Two magnificent AI stocks want to buy 27% and 32% decline in Deep.

The heavy one is the head wearing a crown. alphabet (google 1.70%)) (Goog 1.52%))Google’s parents and Meta platform (Meta 2.65%))Previously known as Facebook, we are faced with monopoly prohibitions on how to maintain dominance in Internet search and social media.

Investors generally don’t like uncertainty, and the entire market is changing in the last few months of macroeconomic environments. The alphabet lost 32% of the high meta platforms as of April 22, between the risks of each company.

The potential results of the case for the company can be forced to sell or spray major business assets. In other words, getting out of this best artificial intelligence (AI) company can now be a mistake for investors.

Investors want to buy this dip on the alphabet and meta platform:

The technical empire can be reduced

Alphabets and meta platforms are one of the most powerful technical leaders in the world. Each core business produces billions of dollars in annual advertising revenue. Alphabet dominates the Internet through Google search engines and software ecosystems, while META’s social media apps, including Facebook, Instagram, Whatsapp and Threads, reach a total of 33.5 billion daily active users.

However, the monopoly law regulatory agency has stepped on due to the company’s slaughter on each niche market within the technology sector.

Alphabet has already lost monopoly cases. One has lost two monopoly cases related to competitive practices in online advertising regarding Google search. The alphabet and regulators will now claim in the court and the judge will decide what measures should be taken for the alphabet to solve the violation. Alphabet allows you to sell your Chrome web browser or to stop paying. apologize In this transaction, billions of dollars a year have made Google a default search engine for the Safari web browser of the iPhones.

Meanwhile, the monopoly of the Federal Trade Commission has just begun a monopoly on the meta platform for aggressive tactics to get rivals such as Instagram or to acquire competitors such as WhatsApp. If the company is lost, some speculate that you can order or sell the app.

The monopoly therapy may not have been so bitter.

The idea of ​​parting is scary, but investors can react excessively to the headline. Both companies have stratified several products and services to build a technology ecosystem with a strong network effect.

It is assumed that the court could not pay the apple to the Safari web browser to arrange the search engine.

Alphabet now decided that it is worth paying tens of billions of dollars annually to make Google as a default search engine in Apple’s Safari browser. Nevertheless, if the contract ends, the Google search is unlikely to collapse. Safari is only one of Google’s many distribution channels and is only 17.5%of the global web browser market.

Google’s Chrome is a global leader with a 66%share. Even if Alphabet sells or sprays Chrome, it is also integrated with a productive app of Google such as Gmail and others. In other words, it will be difficult to remove the network effect alphabet benefits unless the regulatory agency dismantles the company. I can’t take into account how complicated it is. On the other hand, the chrome unit itself is a free product, so it may be difficult to make a profit without a Google connection.

The situation around the meta is a bit difficult because there is not much layer in the ecosystem. If you have to sell both Instagram, whatsapp or both, it will be a significant blow to the empire. The good news is that META uses the app family to improve each other by improving each other, such as providing a crosspost from Instagram and Facebook to thread crosspost, facebook, instagram and Whatsapp.

Therefore, losing meta can not necessarily reduce anything else. The spin -off will leave a smaller meta, but if the Instagram or whatsApp flourish, which is independent, it can also unlock the shareholder value.

The risk of monopoly is practical, but investors should not be embarrassed. In particular, we do not rush even if each company’s AI efforts can create new core businesses.

All of these AI stocks are now better transactions

The AI ​​trend can one day be a more important catalyst for both companies, which is unlikely to change the situation anyway due to this monopoly. Experts like PWC believe that AI technology can create a tough economic opportunity after the next 10 years.

The AI ​​opportunity of the alphabet is as follows.

• AI fuel growth in the cloud;
• Expansion of the autonomous driving mail business of Waymo;
• Quantum computing development;
• Competitive AI model (Gemini) for consumers and companies.

Meta does not own a public cloud platform, but as follows.

• A wide hardware business with meta quest headset and AI smart glasses;
• An open source AI model (LLAMA) with more than 1 billion downloads;
• AI integration of social media apps and existing advertising businesses.

The dip of this stock left a reasonably strong evaluation. The alphabet is traded at the price/import growth (PEG) ratio of 1.2 and the meta is 1.4. In fact, in general, the consensus view is that the PEG ratio of the stock is quite valuable and lower. And these two technical companies have some potential risks to be careful. But the investor Wal -MartMature business transactions with almost 40 times income and 5.1 PEG ratio? Wal -Mart shares are not expected to be better than the alphabet or meta platform for the next five years, unless the technology company’s growth and competitive advantages decrease rapidly.

Googl PE ratio data from ycharts.

It is easy to confuse the risk of investment when the market is already shaking. But in the case of meta platforms and alphabets, it’s too early to embarrass what this monopoly means. With this in mind, you can adjust the noise and see two of the two most powerful technology companies in the world in the long run.