These days, it is difficult to find cheap stocks, but you do not need to break the bank to get a good offer for two technology shares.
The Taiwan semiconductor is the main manufacturer of AI processor and has 90% of the advanced semiconductor market.
The Alphabet has just received a favorable antitrust solution, has a lot of potential from AI, and its shares are cheaper than some competitors.
10 shares we like more than alphabet ›
Recent research on Motley Fool shows that the average balance of American accounts, including checking, saving, money market accounts, etc., is about $ 8,000. However, not all budgets are the same, and 55% of Americans say they would not be able to deal with $ 400 for emergency expenses.
For those who can invest, the good news is that relative transactions contain stocks. One common way to estimate the value of shares is the price and income (P/E) ratio, which compares the price of the company’s shares to its earnings to show whether its price is reasonable compared to peers.
Two such promotions that look like relative transactions, taking into account their P/E ratio – and their stock prices are good at an emergency costs of $ 400 – are – is – Taiwan semiconductor(NYSE: TSM) and Alphabet (Nasdaq: goog)(Nasdaq: googl); That is why both stocks are currently a good purchase.
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Taiwan’s semiconductor may not have the same name recognition as Nvidia or MicrosoftHowever, the company is still one of the most important AI players. Taiwan’s semiconductor, often referred to as TSMC, is the main manufacturer of artificial intelligence processors and has about 90% of the advanced processor manufacturing market.
When large technology companies need AI processor, TSMC usually produces them. This gave the company the sale and earnings a huge upturn: revenue increased by almost 39% from a quarter to $ 31 billion and revenue from $ 61% to $ 2.47 for the American Depository Receipt (ADR).
It is likely that greater growth in TSMC is waiting, as artificial intelligence companies continue to invest in new data centers that require advanced processors. Jensen Huang, CEO of NVIDIA, recently said the new industrial revolution has begun. Ai race is going on. We see that by the end of the decade, AI infrastructure costs are from $ 3 trillion to $ 4 trillion. “This is a fantastic message to the TSMC, and the management says that current demand will increase the company’s AI revenue this year.
All this is that the Taiwanese semiconductor is still expensive and the p/e ratio is only 25 S&P 500Average P/E ratio.
The alphabet has just received the most favorable antimonopolist decision when the judge decided that the technology giant does not have to give up its popular Chrome browser or the Android operating system ubiquitous. This was particularly good news because the company is facing increasing competition from AI companies, including Openai and Openai, in the search space.
After interrupting such a decision, investors can now focus on some of the company’s biggest growth opportunities, including AI and cloud computing. The Chatbot of the Alphabet “Gemini Talks” already has about 400 million monthly active users, and the company has moved to its AI AD Platform for many of its advertisers, and 2 million have already used more than 50% more than the Ago Quarter.
The alphabet also uses the expanding AI cloud computing market, which until 2030 It will be worth about $ 2 trillion. Google Cloud is the third largest cloud provider after Amazon And Microsoft, but over the last few years it has made great benefits and now has 13% of the market. From the segment, sales jumped 32% in a quarter to $ 13.6 billion, while Alfabet management said cloud transactions worth $ 250 million or more increased twice a quarter.
Like TSMC, Alfabet shares at the moment look like a relative deal. The alphabet P/E ratio is slightly lower than 23, making it cheaper than most of its competitors, including Microsoft shares with a price to 37 ratio.
I think the alphabet and the Taiwan semiconductor may be the two best at the moment. If you only have enough money to invest in one, I would choose the TSMC on the main position of the AI semiconductor production.
Before buying alphabetical reserves, consider this:
Motley Fool Stock Advisor A team of analysts just found what they think is 10 best stocks To buy investors now … and the alphabet was not one of them. 10 stocks that reduced the incision can return the monster in the coming years.
Consider when Netflix This list consisted of 2004. December 17th … If you have invested $ 1,000 during our recommendation, at our recommendation, You would have $ 670,781!* Or when Nvidia Made this list in 2005. April 15 … If you have invested $ 1,000 during our recommendation, at our recommendation, You should have $ 1,023,752!*
Now it is worth mentioning Share advisor The average return is 1 052%-S&P 500, compared to 185 percent. Share advisor;
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*The stock advisor returns from 2025. August 25
Chris Aliger has no position in any of the above shares. Motley Fool has positions and recommends production of Alfabet, Amazon, Microsoft, Nvidia and Taiwan semiconductor. The Motley fool recommends the following options: 2026. January 395 USD calls Microsoft and briefly 2026. January $ 405 Microsoft calls. The Motley fool has a disclosure policy.
2 transactions to investors from the budget initially announced The Motley Fool
