Market dominance, a superior net cash position, and aggressive growth characterize the best tech stocks on the market right now. In this Motley Fool Live segment from "Ask Us Anything," recorded on April 12, Fool.com contributors Demitri Kalogeropoulos, Jose Najarro, and Nicholas Rossolillo share why Microsoft (MSFT 1.57%), Alphabet (GOOGL 0.42%) (GOOG 0.58%), and Apple (AAPL 2.15%) are their top picks.
Demitri Kalogeropoulos: Which of these stocks you want to be holding from now until 2032, Apple, Google, Alphabet, or Microsoft? Jose, what do you think?
Jose Najarro: For me, out of these three, I would say, I think all of them will do pretty well in the next 10 years. My favorite among them was be Microsoft, just because it has all these different markets. Like I mentioned, the enterprise, the gaming and the consumer. The second I think would be Google and then Apple last, I do think the advertising market will continue. Right now, we're just seeing it in the digital aspect, but I think eventually it could move into whatever this metaverse or whatever it is, so I do think Google will be able to have strong marketing or digital advertising all over.
Demitri Kalogeropoulos: Nick, which one do you like?
Nicholas Rossolillo: Alphabet. Two reasons, I think if antitrust becomes an issue and Alphabet gets broken up, I love the individual businesses, I would love to own YouTube as a stand-alone stock, Google Cloud as a stand-alone stock, the advertising business as a stand-alone stock, all three I think would be perfectly fine on their own. Plus, to my knowledge, I think Alphabet has the deepest pockets around net cash, net of debt. Alphabet has 130 billion in cash and that blows away the net cash position, net of debt of all the other big tech stocks by a very wide margin. That's pretty powerful right there.
Demitri Kalogeropoulos: Yeah, that's an interesting thought experiment too, because my initial response is Microsoft because I can see more clearly. It's just they've got an easy path it seems like to market dominance or continued great. They've got that enterprise like Jose said, gaming, they've got these global massive of consumer and enterprise focused Cloud subscription services, all that stuff. They've got everything that you'd want in a company, including that amazing brand.
But at the same time, I like Google's Alphabet in terms of that could be the real question mark, that could be like the wildcard there because some of these bets they've got that, I forget what they call that segment of theirs where they make those crazy capital bets on technology. But a lot of them are in various stages of really interesting stuff, and it's an aggressive company in that way, which I think could be a real game changer in terms of if any of those I know they are in the auto autonomous driving tech too. I think that Waze is spinning off, if I remember that right. All kinds of great tech there. I think Google might be that surprise or Alphabet's Google might be that surprise.
Then what was the third one? Yeah, Apple. I own Apple. I've owned it for the last 10 years. It's almost like you never bet against Apple, I wouldn't say. I do agree with Jose, I think all of these three companies are going to beat the market over the next 10 years. Microsoft, I would say is probably the surest bet. Personally, just like I said, because of the visibility into that, but depending on what Apple and Google release over the next five years, that could change pretty quickly.
