5 Near Monopoly Stocks in the US

3. Alphabet Inc. (NASDAQ:GOOGL)

Number of Hedge Fund Holders: 196

Alphabet Inc. (NASDAQ:GOOGL) is a Mountain View, California-based diversified technology company that holds a monopoly or near monopoly position over mobile application stores, mobile operating systems, search engines, web browsers, search advertising, and cloud computing segments.

Together with Apple, Alphabet Inc.’s Android mobile operating system holds a 99% market share as of 2022. Both these entities hold a 100% market in the mobile application stores category. Along with Microsoft Corporation (NASDAQ:MSFT), Google holds a 97% market share in the web browser segment. Meanwhile, 92% market share in the field of search advertising is held by Alphabet Inc. (NASDAQ:GOOGL), Amazon.com, Inc. (NASDAQ:AMZN), and Microsoft Corporation (NASDAQ:MSFT). According to experts, the disruption by Google in the search advertising industry has automated various tasks and has resulted in a job loss of 199,000 people globally.

Stewart Asset Management discussed its stance on Alphabet Inc. (NASDAQ:GOOGL) in its Q3 2022 investor letter. Here’s what the firm said:

“We invest in businesses with strong, resilient earnings growth which are less cyclical. In the pandemic recession of 2020, the aggregate earnings of the portfolios we manage did not decline year-over-year, and in fact grew, albeit modestly. Looking at the Great Recession which began at year-end 2007 and lasted to mid-year 2009 is helpful too. Our four largest current holdings in the portfolio weathered that period well. Alphabet (NASDAQ:GOOG), then called Google, reported earnings that doubled from 2007 to 2010.”