Google’s [part of Alphabet (GOOGL -5.63%) (GOOG -5.81%)] core businesses continue to perform very well. In this video clip from “The Rank” on Motley Fool Live, recorded on July 13Fool.com contributors Matt Frankel and John Bromels discuss one area of the company that could push its growth to an even more impressive level.
Matt Frankel: [laughs] I think of Google as the perfect example of a near-monopoly on a major business and then a bunch of things that could be home runs. You think like Waymo, things like that, that could be home runs, but then you have the Google business and I can’t name a business of that scale that is a near-monopoly in what it does. That’s why I like it.
John Brommels: I would’ve said Microsoft‘s (MSFT -1.69%) Office Suite, except that Google came along with Google Docs and Google Sheets, and Google Drive. I would say now I wouldn’t call it that.
Frankel: Just in terms of internet search, in terms of advertising, no one has got better advertising data available than Google does. It’s just a near-monopoly. They call that segment their other bets, I think I still refer to it as.
Frankel: If any one of those really takes off, if Waymo dominates the driverless car industry, for example, it could potentially double its market cap. Maybe not double, but you know what I mean? It could be a big needle mover.
Frankel: On top of that, rock solid monopoly advertising business that they have. That’s why I rank that No. 2 out of the 5.
Suzanne Frey, an executive at Alphabet, is a member of The Motley Fool’s board of directors. John Bromels has positions in Alphabet (A shares), Alphabet (C shares), and Microsoft. Matthew Frankel, CFP® has no position in any of the stocks mentioned. The Motley Fool has positions in and recommends Alphabet (A shares), Alphabet (C shares), and Microsoft. The Motley Fool has a disclosure policy.