U.S. economic growth decelerated in the first quarter in response to high inflation and rising interest rates. But recent turmoil in the banking industry could amplify those headwinds in the coming months. To that end, Federal Reserve (the Fed) officials expect a mild recession before the end of the year, with a recovery occurring during the subsequent two years.

That news may worry some investors, but there is a silver lining: Recessions are a temporary phenomenon. Eventually, the economy will bounce back and the stock market will regain its momentum. In the meantime, recession fears have left these FAANG stocks trading at attractive prices.

1. Alphabet

Alphabet (GOOG 0.07%) (GOOGL 0.14%) is the parent company of Google, a business that dominates the digital-advertising market. In fact, Google accounted for nearly 29% of U.S. digital ad spend last year, according to data from Insider Intelligence, and it accounted for roughly 30% of global digital ad spend.

That success stems, in large part, from the popularity of Google Search, YouTube, and Chrome, the most popular search engine, streaming service, and web browser, respectively. All three platforms engage users and generate valuable consumer data for advertisers.

Alphabet is also gaining share in cloud computing. Google Cloud Platform accounted for 10% of cloud infrastructure and platform services (CIPS) in the fourth quarter of 2022, up from 9% one year ago and 7% two years ago. That momentum comes, in part, from its expertise in artificial intelligence (AI).

Google may not have a viral AI app like ChatGPT yet, but industry experts designated the company as a leader in conversational AI platforms and AI infrastructure. Consultancy firm Gartner recently noted that "Google has one of the strongest AI research capabilities in the world." That advantage should keep the company on the cutting edge of AI technology.

Economic uncertainty is a headwind for Alphabet. Brands pulled back on ad spend, and businesses invested less aggressively in cloud migration. Both factors continued to weigh on the company in the first quarter, though it still beat expectations on the top and bottom lines. Revenue increased 3% to $69.8 billion and cash from operations dropped 6% to $23.5 billion.

Google is projected to lose a little market share in digital advertising as brands diversify ad dollars across connected television and retail platforms like Amazon (AMZN 0.80%). But the ad tech market is expected to grow at 14% annually through 2030, according to Grand View Research. That leaves room for Google to cede market share while still growing its ad business.

Meanwhile, the cloud computing market is expected to grow at 14% annually through 2030, and Ark Invest says the AI software market could grow at 42% annually over the same period. Alphabet should be a major beneficiary of those tailwinds.

Currently, shares trade at 4.9 times sales, a discount to the five-year average of 6.3 times sales. More importantly, that valuation appears reasonable, given the growth opportunities that lie ahead. That's why investors should consider buying a few shares of this FAANG stock today.

2. Amazon

Amazon delivered a solid first-quarter financial performance despite the difficult economic environment. Revenue climbed 9% to $127 billion and the company reported positive cash from operations of $4.8 billion, up from a loss of $2.8 billion in the prior year. Investors should be aware that high inflation and unfavorable exchange rates are still a problem, but management's cost-cutting efforts are clearly bearing fruit, and the company should be able to reaccelerate growth when economic conditions improve.

Amazon runs the most popular e-commerce marketplace in the world and receives nearly four times as much traffic as the runner-up, eBay. The company will account for nearly 39% of online retail sales in North America and Western Europe in 2023, according to estimates from eMarketer.

That success paved the way for a booming digital ad business. Amazon currently ranks as the third largest ad tech company in the world, but its ad revenue is growing more quickly than the industry leaders, Google and Meta Platforms.

Amazon Web Services (AWS) dominates the cloud computing market. It accounted for 32% of CIPS spending in the fourth quarter, and its market share ranged from 31% to 33% in each quarter over the last five years. Gartner attributes that superiority to its unparalleled portfolio and its unmatched capacity for innovation. Those qualities should keep AWS on top of the industry for years to come.

Here's the bottom line: Amazon has a strong presence in e-commerce, digital advertising, and cloud computing, and industry analysts expect all three markets to grow at 14% annually through 2030. But shares trade at 2 times sales, a discount to the five-year average of 3.6 times sales, and a reasonable price for a company with a great shot at mid-teens revenue growth through the end of the decade. That's why this stock is worth buying today.