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Alphabet and Meta Are Net-Cash-Rich, Free-Cash-Flow Generating, Secular-Growth Powerhouses

publication date: Oct 25, 2023
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Image: Free cash flow growth at Alphabet has been phenomenal during the first nine months of 2023. 

Both Alphabet and Meta are net-cash-rich, free-cash-flow generating, secular-growth powerhouses. Though cloud revenue growth and the pace of expense expansion at Alphabet are concerns, and while Meta may experience some softness in advertising revenue during the current quarter, both entities’ quarterly performances during the calendar third quarter showcased why they have been market darlings during 2023. 

Note: We’ve corrected our updated report on Alphabet. We had previously uploaded an incorrect version, but this version (pdf) has now been corrected. There is no change to the updated fair value estimate of $133 per share.


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