Meta Or Alphabet Which Is Best

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Meta Or Alphabet Which Is Best

Meta Or Alphabet - Which Stock Is Best?

Meta and Alphabet are the two big names in the US tech sector. Both of these are blue-chip and mega-cap stocks: They also belong to the Magnificent Seven group!

With these two options, many traders wonder which stock is the best and offers better value. With that in mind, let's compare both these stocks based on different factors:

1. P/E Ratio

According to experts, the P/E ratio of Meta is expected to keep moving lower in the coming years. It's around 23.4 this year and will likely drop in 2026 to just 21. In 2027 and 2028, it will drop even further to 18.2 and 16.2.

This will be a sign that Meta continues to enjoy consistent earnings growth during the next few years.

On the other hand, the P/E ratio of Alphabet in 2025 will be around 16.1. It will drop in 2026, 2027, and 2028 to 15.1, 13.2, and 11.4, respectively.

So based on the P/E ratio, it appears that Alphabet is a much cheaper option as compared to the Meta.

2. Revenue Growth

By the year 2028, the revenue of Meta is forecasted to touch $263 billion. That's a solid number which highlights that the company has already diversified its revenue sources.

On the other hand, the revenue of Alphabet will be around $518.4 billion in 2028. In this regard, the rate of revenue growth is a little higher for Meta as compared to the other.

But if we look at the revenue numbers, the obvious winner is Alphabet, without any doubt.

3. Peg Ratio

The PEG ratio of Meta is around 1.34, which is a little better than the median ratio of the sector. However, the ratio of Alphabet is around 1.08, which shows that Alphabet is a much better value stock.

Based on all of these 3 factors, it becomes clear that Alphabet is a better option in terms of revenue, PEG ratio, and P/E ratio. But that's not to say that you should pay no attention to the Meta stock. In fact, Meta is also a strong contender which has a number of social platforms under its umbrella.

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