It was only about a year ago that technology companies warned of a looming digital advertising recession as economic uncertainty lingered. More than a year later, the industry appears in a starkly different position, with commentary and results from some of the largest behemoths pointing to a sector — that's fallen pressure to weakening spending patterns, a deteriorating macro picture and headwinds from Apple 's 2021 iOS privacy changes — on the mend.
mountain Alphabet shares year to date "We have seen greater evidence of return to normalcy in a way that was not contemplated earlier this year," he said. Even with these signs pointing to stabilization, Wall Street cautions investors from putting their money into derivative plays. Instead, they recommend capitalizing on the trend through the major names.
mountain Meta Platforms shares year to date With these heightened levels, some investors may consider hunting for cheaper alternatives to play the advertising environment — but that move could end in disappointment, cautions Paul Meeks.
mountain Amazon shares over the last month Alphabet and Meta make up the majority of the advertising market, but Meeks said investors shouldn't sleep on Amazon, with the tech investor opening a fresh stake in the e-commerce giant post-earnings. Meeks cited improvement in the company's Amazon Web Services division as the main reason he bought shares, but noted that the ad businesses positively surprised many on Wall Street.