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Amazon’s long-term investment outlook is holding strong, even after its stock hit an all-time high.
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Alphabet, the parent company of Google, is facing significant challenges, yet it remains a considerable success.
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Trade Desk is still a market leader with significant growth potential ahead.
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There are opportunities with certain stocks that could potentially yield significant profits.
There’s a common notion that the Chinese word for “crisis” combines “danger” and “opportunity.” Seems catchy, right? But, actually, it’s not true. Still, it’s easy to see why this idea resonates. Crises do carry risks, yet they often bring remarkable opportunities. I wonder if we can really call the current market volatility a crisis.
Many strong stocks have taken a hit in the recent market downturn. This could lower my top three stock picks by over 20%, but I’m looking to buy in.
Looking back, if you want to capitalize on the market, actively purchasing stocks might be the way to go. Take Amazon, for instance. Its stock has already risen over 22% since the start of the year, even despite recent sell-offs.
Of course, the market conditions are influenced by customs duties. That said, I believe Amazon can withstand the pressure better than most anticipate. Even if they pass on some costs to consumers, its e-commerce platform remains a go-to for budget-conscious shoppers.
It’s important to note that high tariff levels are likely to be temporary. Whether or not trade deals happen, the current uncertainty is tied to rising inflation and various political dynamics. Amazon is in a prime position to thrive regardless.
Amazon’s investment potential remains as solid as it was when stock prices recently peaked. There’s still abundant room for e-commerce to grow, IT spending is increasingly moving to the cloud, and the rise of AI is a significant advantage. Amazon is set to benefit from these trends.
On the flip side, Alphabet’s stock has dropped nearly 27% from its peak earlier this year due to various pressures beyond market fluctuations.
One of the biggest concerns for Alphabet is the potential ramifications of antitrust issues. Recently, two federal courts have deemed Google to have an illegal monopoly, affecting both its search engines and its ad technology platform. Additionally, testimonies have suggested an executive at Apple believes AI search engines could eventually oust Google.
Should this make you consider avoiding Alphabet’s stock? I don’t think so. Yes, antitrust rulings could create headaches for Google. But perhaps I’m not seeing the full picture. Alphabet could end up bouncing back stronger than expected because of its strong appeal.
While it’s true AI might transform search engines in the long run, I suspect that the best alternatives may very well come from… Google. The company has already made considerable strides in AI integration in its search functions, so betting against them seems unwise.
AI also opens up substantial growth avenues for Alphabet. For example, Google Cloud is gaining traction as a leading cloud service provider, and Waymo is a front-runner in autonomous ride services. I expect Google to harness advantages from advancements in General Artificial Intelligence over the coming years.
Trade Desk’s stock has seen a major decline this year, falling nearly 60% from its record high in late 2024. I envision Trade Desk like the mythical Phoenix, ready to rise from the ashes.
The company faced challenges, particularly with disappointing revenue projections in its fourth quarter results last year. Yet, I was encouraged by management’s commitment to address these issues swiftly.
Will the shift from traditional advertising to digital be slow? Absolutely not. Will there be more ad-supported connected televisions in our homes? Yes. Is the open internet advertising market expanding? Definitely. Does Trade Desk still offer the best platform for advertisers aiming to target specific customers? Yes, once again.
If my assessments about these trends are on point, investing in Trade Desk in the near future could prove rewarding. This downturn in the Adtech sector signals a valuable chance for long-term investors.
Have you ever felt like you missed out on the chance to invest in successful stocks? If so, you’ll want to pay attention to this.
At times, expert analysts identify “Double Down” stocks—those they believe are primed for explosive growth. If you’re afraid you’ve already missed the boat, now might be the best time to act before opportunities slip away. Just look at the numbers:
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Nvidia: A $1,000 investment in 2009 would now be worth about $302,503!
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Apple: A similar investment in 2008 would be worth around $37,640!
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Netflix: Investing $1,000 back in 2004 would yield approximately $614,911 now!
We’re now issuing “double-down” alerts on three exceptional companies, exclusively available to members of Stock Advisor. Opportunities like this don’t come around often.
See the three stocks
Note: Stock Advisor returns as of May 5, 2025.
Disclosure: Members of the board of directors of Motley Fool include Suzanne Frey (executive at Alphabet) and John Mackey (former CEO of Amazon’s Whole Foods Market). Keith Speights has investments in Alphabet, Amazon, Apple, and Trade Desk. Motley Fool also endorses these companies.
My three top stocks have dropped over 20%, and I’m buying now Originally published by The Motley Fool.
