Mark Roussin, CPA on $GOOGL (Nov 3, 2026)

We will also compare those results with another major investment of mine, Alphabet, and determine whether the current valuation is attractive enough for me to significantly increase my stake.

I mean, as an investor, you can't look at these cloud growth numbers that we've seen from companies like Microsoft, Alphabet, and now Amazon, and then tell me that AI is slowing down. You simply cannot do that.

Google Cloud was the bright spot in Alphabet's earnings report. We have just seen that through the recent results of those companies.

This is where things get particularly interesting, because Alphabet remains my largest individual stock holding. I recently posted a video in which I discuss why I'm concerned about their report.

And I want to be clear , I am not selling Alphabet shares. I still believe that Google has some of the most valuable businesses in the world. Google search engine, YouTube, Google Cloud, Android, and an exceptional array of artificial intelligence technologies.

But after reviewing the latest earnings reports for both Alphabet and Amazon, I prefer Amazon for my next investment. Here's why.

Looking at Alphabet, their advertising revenue, their mainstay, came in well below expectations for two consecutive quarters. The cloud numbers were particularly strong for both companies.

But when you look at Alphabet, their cloud numbers aren't a big part of their business.

Yes, both companies spend more cash than they generate, and that's a negative thing. But of the two, Amazon seems to be in a much better position in my opinion.

Artificial intelligence may be growing in some areas of Google, but the question you should ask yourself is: Does that put their core business at risk? That is the question. This is something I am monitoring closely.

But here's my point of view. Amazon appears to have greater opportunities to use artificial intelligence to expand its current profitability, while Alphabet faces a direct risk of AI disrupting one of its most profitable businesses. This is the distinction I'm focusing on.

Here's the next reason why I prefer Amazon. They have operational momentum. Amazon's consolidated operating income rose by approximately 61%. Alphabet's operating income rose by about 30%.

Both are strong results, but Amazon demonstrates great operational efficiency across multiple businesses, and this gives me more confidence in the company's ability to expand its profitability over time.

However, when I compare Amazon to Alphabet after their recent earnings reports, I easily prefer Amazon for the additional investment.

This does not mean, again, that I am abandoning Alphabet. It is still my biggest investment. Following these recent earnings reports, which stock would you prefer to own for the next five years, Amazon or Alphabet?