Value stocks are shares of companies trading for low prices relative to their earnings and growth potential. They can be an excellent way for investors to minimize risk in the stock market, while also being rewarded with perks like dividends and buybacks. Let's discuss why  (NASDAQ: GOOGL) and Phillip Morris International (NYSE: PM) fit into this category and could make great bets for value-conscious investors. 

Cutting-edge technology companies are not usually the first place investors look for value, but Alphabet is an exception. The search giant faces challenges from an undiversified business model and possible moat erosion by generative AI platforms like ChatGPT. But with a rock-bottom valuation and an exciting growth strategy, shares look like a good deal. 

With a market share of 83% in desktop search, Alphabet's Google dominates its industry. But in some ways, the company has become a victim of its own success. In the second quarter, Google advertising (including YouTube ads) was 81% of total revenue, while other businesses, such as cloud computing and hardware, represented the remainder. The lack of diversification may contribute to Google's low valuation by making it vulnerable to threats like ChatGPT, which can conversationally answer user questions. 

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Source Fool.com