As a subsidiary of Alphabet, Waymo does not have its own public stock for direct investment. However, investors can gain exposure to Waymo’s technology and potential growth by investing in Alphabet stock. With Waymo positioned to be a leader in autonomous driving, Alphabet offers investors a way to participate in this emerging industry before a potential Waymo IPO in the future.
Waymo’s business model makes direct investment unavailable currently
As Alphabet’s autonomous driving subsidiary, Waymo is not a standalone public company at this time. Without an IPO, there is no Waymo stock that investors can purchase directly. Additionally, Waymo’s business model is focused on developing self-driving technology rather than manufacturing vehicles. This makes revenue streams unclear and direct investment impractical for most investors.
Investing in parent company Alphabet provides indirect Waymo exposure
While Waymo stock is not available, investors can gain exposure to the company’s potential by investing in publicly traded Alphabet (GOOGL), Waymo’s parent organization. With Alphabet continuing to invest billions into Waymo every year, its growth prospects have a material impact on Alphabet. If Waymo’s technology proves successful and reaches mainstream adoption, Alphabet stands to benefit significantly as the sole owner.
A future Waymo IPO could offer direct investment opportunity
There is significant speculation that Alphabet may spin off Waymo as a standalone public company in the future, possibly as soon as 2025. This would finally allow direct investment into Waymo stock. As a first-mover with advanced self-driving technology, Waymo would generate huge interest among investors, especially considering the massive market potential of autonomous vehicles. An IPO would allow the public to benefit from this opportunity.
While Waymo is not currently available for direct investment, Alphabet provides public market exposure to Waymo’s growth potential. A future Waymo IPO would finally allow investors to buy stock and capitalize on its industry-leading autonomous driving technology.