Apple or Google - Which Stock do You Prefer?

If you could only own one of these stocks at a time, which would you own today, Apple (Nasdaq: AAPL) or Google (Nasdaq: GOOG)? Our friends at CNBC posed the question on the air, and I feel compelled to answer it. Without further ado, you should know that I choose Apple over Google (Nasdaq: GOOGL) without reservation, as it stands at deep discount to Google’s share value, but with the high prospect of upside revision to growth estimates and before its new product and service catalysts begin to prove themselves to the investor marketplace. So, while I would own both securities and love Google, if I had to choose between the two, Apple would be my pick today. See my full report, Apple or Google, here.

If Apple Soars is Google Out the Door?

1-Year Chart Comparison of GOOGL & AAPL at Yahoo

It’s a legitimate question to ask. Might Google (Nasdaq: GOOG) shares fall if Apple (Nasdaq: AAPL) shares rise in coming months? Some will say that even if it occurred, it would be coincidental, because the paths of the two stocks are mutually exclusive. But are they?

The one-year chart comparison of the performances of Google (Nasdaq: GOOGL) and Apple (AAPL) shows rising shares and positive returns across the board. However, you will note that the most recent history seems to portray at least a divergence if not negative correlation between the two. There are other than operational reasons why that might be, and we get into those in our report Why Google Could Fall if Apple Rises.