What will 2024 bring for the company's stock? Overview of potential challenges and opportunities
After a successful year in 2023, when Alphabet's stock delivered outstanding financial results, 2024 is shaping up to be a year of key decisions and events.
The removal of third-party cookies and an antitrust lawsuit are just some of the factors that may affect the stock price. How will Alphabet deal with these challenges and what does it mean for investors?
The year 2023 was marked by solid revenue growth for Alphabet and the success of its use of artificial intelligence in its services. However, with major events coming up, Alphabet stock may experience a roller coaster ride in 2024.
One key factor that may affect the stock price is the decision to remove third-party cookies from the Chrome web browser. This change, has the potential to change the digital advertising landscape. Alphabet will begin the process in the first quarter of 2024, switching to a Privacy Sandbox system to protect user privacy while maintaining attractiveness to advertisers.
Another challenge is the antitrust lawsuit filed by the US Department of Justice, which targets Google's dominance as a search engine. The court case will run until May, and its outcome could have far-reaching implications for the company.
Despite these challenges, Alphabet remains an interesting investment. With the projected growth of the digital advertising industry and prospective development, the company has the potential for long-term growth. Not surprisingly, experts see buying and holding $GOOGL+0.0% stock for the long term as a sound strategy.
For investors, 2024 may seem uncertain, but in the long run, Alphabet remains a strong player in the technology sector and with the prospect of future growth, it may present interesting opportunities for investors.
Overall, then, despite any short-term turbulence, Alphabet can still be an attractive addition to the portfolios of those seeking long-term growth and stability in the dynamic world of technology.
Disclaimer: You will find a lot of inspiration on Bulios, but stock selection and portfolio construction is up to you, so always do a thorough analysis of your own.