In 2018, many market observers have been quick to label the FAANNG group dead. But, quite simply, those pundits have been wrong.

Despite the FAANNG stocks enduring choppy trading in 2018 and being subject to some sizable drops, all six FAANNG stocks are up year-to-date. Even Facebook (NASDAQ:FB), which suffered the biggest stock market drop in history this year, is still up 1% YTD. Meanwhile, Alphabet Inc (NASDAQ:GOOGL, NASDAQ:GOOG) is up nearly 20%, Apple (NASDAQ:AAPL) is up about 30%, Nvidia (NASDAQ:NVDA) is up more than 40%, Amazon (NASDAQ:AMZN) is up more than 60% and shares of Netflix (NASDAQ:NFLX) have nearly doubled.

Clearly, long FAANNG is still the market’s favorite trade.

This will remain true into the foreseeable future. These companies are attacking huge and growing markets, and are rapidly gaining share in those secular growth markets. This trend will remain true for the next several years as more consumption and engagement moves online. As such, all of the FAANNG stocks should head higher over the next several years.

In the winning FAANNG group, I think one of the best long-term investments in GOOGL stock. This is a big growth company with a huge moat that dominates the digital advertising space, and it is gaining traction in other, even bigger secular growth markets. Plus, GOOGL stock is among the cheapest valued stocks in FAANNG.

For all those reasons, I think Google stock is the cream of the corp when it comes FAANNG. Here’s a deeper look.

Google Dominates Digital Advertising

Make no mistake about it. The secular growth digital advertising space is essentially a duopoly between Facebook and Google. That dominance may be fading some, but the two tech giants still control more than 55% of the entire U.S. digital advertising market.

Within the duopoly, Alphabet stock is the bigger player by far. Facebook controls about 20% of the U.S. digital advertising market. Google controls over 35%.

Meanwhile, the whole digital advertising market is experiencing robust growth. Global digital media spending is expected to rise ~13% per year over the next five years as total ad spending growth converges on rapidly increasing digital media share.

Thus, it is safe to say that the company dominates the secular growth digital advertising space.

It is also safe to say that this dominance will persist. Alphabet is winning because Google is bigger. And, Google is bigger because Google is the gold standard for digital search, which is a must-have feature of using the internet.

No one comes too close to challenging GOOGL in digital search. Thus, so long as internet usage grows globally, GOOGL’s dominance will only become more apparent.

As such, Google’s digital ad business should continue to grow at a robust rate over the next several years.

GOOGL Will Dominate AI

Google dominates the digital advertising market today. But Google will dominate the AI market tomorrow, and that market has far greater growth potential.

When it comes to AI, everything is about data. Data is essentially the fuel which powers the algorithms behind AI. Fortunately for GOOGL stock owners, when it comes to data, Google is second-to-none. Because just about every internet user in the world (ex China) uses Google dozens of times a day, GOOGL has amassed the world’s largest consumer preference and search database in the world.

Right now, Google is in the early stages of turning that enormous database into first-rate AI technologies. Think Google Home, Google Duplex and Gmail. All of these are AI-infused Alphabet products that, quite frankly, are best-in-market.

But, this is just the beginning for Alphabet stock’s longer-term growth potential. Google is also experimenting with self-driving through Waymo, its autonomous driving unit, and gaining traction in the cloud market with Google Cloud.

Put it all together, and Alphabet is becoming a company with diverse exposure to all things AI. That means that growth outside of digital advertising should remain robust for the next several years as self-driving, cloud and smart home technologies emerge to the forefront.

Alphabet Stock Is Cheap

The best part about GOOGL stock is that it is dirt cheap considering the company’s massive multi-year growth potential.

Google stock trades at just 26X forward earnings. That multiple makes the stock the cheapest stock in the FAANNG group outside of Apple and Facebook.

But, Apple is growing revenues at a sub-20% rate, and Facebook doesn’t have ample exposure to all things AI. Meanwhile, Google is growing and it has consistently grown revenues at a 20%-plus rate, and it has ample exposure to all things AI. Thus, Alphabet’s stock deserves a bigger multiple.

Moreover, a 26X forward multiple for 20%-plus revenue growth without any of the major AI drivers having really materialized yet is dirt cheap. As soon as those drivers materialize, this could easily turn into a 30%-plus revenue growth company. If that happens, the 26X multiple would look silly.

Bottom Line on GOOGL Stock

Google dominates the secular growth digital advertising industry, and it is positioned to dominate multiple AI markets over the next several years. That combination gives GOOGL stock a powerful growth narrative for the foreseeable future. But GOOGL stock isn’t being priced for all that big growth.

As such, not only is Alphabet stock supported by powerful long-term growth drivers, but the risk-reward on the stock looks exceedingly favorable here and now.

That makes GOOGL’s stock a long-term buy-and-hold.

As of this writing, Luke Lango was long FB, GOOG, AAPL, NVDA and AMZN.