The Steppe Eagle OEIC Ltd on Alphabet Inc.
Thesis
Alphabet is the fund's preferred mega-cap technology holding, with dominant positions in search, YouTube and AI and strong growth in cloud computing. The letter also highlights Alphabet's leadership in autonomous driving and argues that the shares still do not look expensive. The position was initiated in 2022 and 2023 at an average price of $106 and is retained despite the fund's broader discomfort with mega-cap concentration because management sees a wide margin of safety and ongoing dividends. P(1) Harry Qelm Baabsman Steppe… P(1) Harry Qelm Baabsman Steppe…
“It still doesn't look expensive and is worth every invested dollar.”
Key risks
- The fund is concerned about excessive concentration in mega-cap technology stocks