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Alphabet Near $300: Your Last Chance to Buy?

newsfeedback@fool.com (Lyle Daly)
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⚡ Quantum Brief
The stock dipped to near $300 after hitting a November record high of $329, sparking debate over whether investors should buy now or wait for further declines. Alphabet dominates tech with Google, YouTube, Android, and Chrome, alongside ventures like Waymo and Wing, generating $73.6B in trailing free cash flow. It remains one of the most affordable megacap tech stocks, trading at 29x earnings—the second-cheapest in the "Magnificent Seven" after Tesla. Analysts argue timing the market is less critical than long-term potential, as Alphabet’s diversified revenue streams and market leadership suggest sustained growth. With a $3.7T market cap and consistent outperformance, the pullback may offer a strategic entry point despite short-term volatility.
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By Lyle Daly – Dec 21, 2025 at 8:10PM ESTKey PointsAlphabet's share price has dipped since hitting a record high last month.It owns several successful businesses and generated $73.6 billion in free cash flow over the trailing 12 months.You don't need to get the timing perfect when investing in high-quality companies.These 10 Stocks Could Mint the Next Wave of Millionaires ›NASDAQ: GOOGLAlphabetMarket Cap$3.7TToday's Changeangle-down(1.55%) $4.70Current Price$307.16Price as of December 19, 2025 at 4:00 PM ETIts shares have pulled back from their recent highs, but the tech megacap is still an excellent investment.Alphabet (GOOG +1.60%)(GOOGL +1.55%) has done extremely well for its shareholders this year, and the stock hit a new all-time high of $329 in November. However, after a recent pullback, shares briefly moved below $300 and are still close to that level as of Dec. 19. Many investors may be wondering if they should buy shares now or wait to see if Alphabet falls further, considering the recent dip in the tech sector. Personally, I wouldn't wait. Here's why. Image source: Getty Images. The benefit of investing in great companies It's hard to find many tech companies as dominant as Alphabet. The holding company is most famous for owning Google, the world's largest search engine, but it also owns the most popular web browser (Chrome), video streaming site (YouTube), and mobile operating system (Android). Among the other businesses that Alphabet owns are Waymo, a self-driving car company, and Wing, a drone delivery service. Alphabet generated $73.6 billion in free cash flow (FCF) over its past four reported quarters. And even with all of its successes, it remains a more affordable investment than many of the other megacap tech stocks. Trading at 29 times trailing earnings as of Dec. 17, it's the second-cheapest company among the "Magnificent Seven" (which also include Apple, Amazon, Meta Platforms, Microsoft, Nvidia, and Tesla). ExpandNASDAQ: GOOGLAlphabetToday's Change(1.55%) $4.70Current Price$307.16Key Data PointsMarket Cap$3.7TDay's Range$300.97 - $307.2552wk Range$140.53 - $328.83Volume60MAvg Vol37MGross Margin59.18%Dividend Yield0.27% Alphabet has historically outperformed the stock market. Based on the strength of its businesses, it looks likely to keep doing so.Advertisement This isn't your last chance to buy Alphabet, and truthfully, its share price could go up or down in the short term. The current price might not be the very lowest it will go in the near future. But when you're investing in great companies, you don't need to worry about timing the market. What's important is filling your portfolio with long-term winners -- not whether you bought their shares at $295, $305, or somewhere in that area.Read NextDec 21, 2025 •By Geoffrey SeilerAlphabet vs. Amazon: Which Stock Will Outperform in 2026?Dec 21, 2025 •By Keithen DruryThe Best Stocks to Buy With $1,000 for 2026Dec 21, 2025 •By Will HealyWant to Invest in Quantum Computing? 3 Stocks That Are Great Buys Right NowDec 21, 2025 •By Adam SpataccoThe Best Artificial Intelligence (AI) Stock To Buy in 2026 (Hint: It's Not Nvidia)Dec 21, 2025 •By Keithen Drury1 Quantum Computing Stock to Buy Hand Over Fist in DecemberDec 21, 2025 •By Adam SpataccoWhat Is the Best Quantum Computing Stock Billionaire Investors Are Buying Right Now?About the AuthorLyle Daly is a contributing Motley Fool stock market analyst covering information technology and cryptocurrency. Lyle has been a contributor at the financial services company since 2018. His work has been featured on USA Today, Yahoo Finance, MSN, Fox Business, and Nasdaq. Before joining The Motley Fool, he wrote for financial brands including Intuit.TMFLyleDalyX@LyleDalyStocks MentionedAlphabetNASDAQ: GOOGL$307.16 (+0.02%) $+4.70AlphabetNASDAQ: GOOG$308.61 (+0.02%) $+4.86*Average returns of all recommendations since inception. Cost basis and return based on previous market day close.Advertisement

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