Jim Cramer Highlights Misjudgment of Alphabet's Valuation and Legal Risks

Alphabet Inc. (NASDAQ:GOOGL) is one of the stocks Jim Cramer talked about. Cramer mentioned that he “publicly beat” himself for his negative call on the company stock, as he remarked:

“Let’s go to the Mag Seven. Go back to the spring, and recall where Alphabet was trading… I can tell you it was at 140 and change. What were we hearing? That it was a monopolist, that it will be punished by the judiciary, that the breakup will make no more money, no sum of the parts, just a breakup that was punitive. So the stock had to be sold, just an expensive stock that was about to be hobbled by the government. In retrospect, Alphabet was never really expensive. It still isn’t, even up here at $234. I know it’s almost inconceivable that the judge who ruled that Alphabet was a bad actor monopolist then turned around and said the events had overrun the status, so it was no longer a bad actor monopolist. But here we are, a few weeks later, and always seem to be taking it for granted. The stock’s in the 200s, we don’t say, wow, that’s scary. That move occurred without a moment of remorse from those who said it couldn’t happen or the stock was dangerous in the 140s, 150s, 160s, 170s. Now, I made a negative call for Alphabet for the CNBC Investing Club, but at least I publicly beat myself up for getting it wrong.”

Alphabet Inc. (NASDAQ:GOOGL) provides platforms and services, including search, YouTube, Android, Google Play, devices, and digital content, alongside cloud-based AI, data, and enterprise solutions. The company also invests in healthcare and other technology ventures through its Other Bets segment.

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Disclosure: None. This article is originally published at Insider Monkey.