ALPHABET INC-CL A (1GOOGL.MI) Stock Fundamental Analysis
BIT:1GOOGL - Borsa Italiana Milan - US02079K3059 - Common Stock - Currency: EUR
Overall 1GOOGL gets a fundamental rating of 6 out of 10. We evaluated 1GOOGL against 23 industry peers in the Interactive Media & Services industry. 1GOOGL has outstanding health and profitabily ratings, belonging to the best of the industry. This is a solid base for any company. 1GOOGL is growing strongly while it is still valued neutral. This is a good combination! These ratings would make 1GOOGL suitable for growth and quality investing!
1. Profitability
1.1 Basic Checks
In the past year 1GOOGL was profitable.
In the past year 1GOOGL had a positive cash flow from operations.
1GOOGL had positive earnings in each of the past 5 years.
Each year in the past 5 years 1GOOGL had a positive operating cash flow.
1.2 Ratios
1GOOGL has a Return On Assets of 21.91%. This is in the better half of the industry: 1GOOGL outperforms 75.00% of its industry peers.
Looking at the Return On Equity, with a value of 30.01%, 1GOOGL is in the better half of the industry, outperforming 65.00% of the companies in the same industry.
Looking at the Return On Invested Capital, with a value of 26.84%, 1GOOGL is in the better half of the industry, outperforming 70.00% of the companies in the same industry.
The Average Return On Invested Capital over the past 3 years for 1GOOGL is significantly below the industry average of 31.15%.
The 3 year average ROIC (22.84%) for 1GOOGL is below the current ROIC(26.84%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 21.91% | ||
| ROE | 30.01% | ||
| ROIC | 26.84% |
ROA(3y)18.64%
ROA(5y)16.19%
ROE(3y)26.56%
ROE(5y)22.96%
ROIC(3y)22.84%
ROIC(5y)19.1%
1.3 Margins
Looking at the Profit Margin, with a value of 27.74%, 1GOOGL is in the better half of the industry, outperforming 75.00% of the companies in the same industry.
1GOOGL's Profit Margin has been stable in the last couple of years.
Looking at the Operating Margin, with a value of 32.02%, 1GOOGL is in the better half of the industry, outperforming 75.00% of the companies in the same industry.
In the last couple of years the Operating Margin of 1GOOGL has grown nicely.
Looking at the Gross Margin, with a value of 57.96%, 1GOOGL is in line with its industry, outperforming 45.00% of the companies in the same industry.
1GOOGL's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 32.02% | ||
| PM (TTM) | 27.74% | ||
| GM | 57.96% |
OM growth 3Y8.32%
OM growth 5Y3.8%
PM growth 3Y2.86%
PM growth 5Y1.34%
GM growth 3Y2.05%
GM growth 5Y0.16%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is well above the Cost of Capital (WACC), so 1GOOGL is creating value.
1GOOGL has less shares outstanding than it did 1 year ago.
The number of shares outstanding for 1GOOGL has been reduced compared to 5 years ago.
Compared to 1 year ago, 1GOOGL has an improved debt to assets ratio.
2.2 Solvency
1GOOGL has an Altman-Z score of 15.54. This indicates that 1GOOGL is financially healthy and has little risk of bankruptcy at the moment.
With an excellent Altman-Z score value of 15.54, 1GOOGL belongs to the best of the industry, outperforming 85.00% of the companies in the same industry.
1GOOGL has a debt to FCF ratio of 0.26. This is a very positive value and a sign of high solvency as it would only need 0.26 years to pay back of all of its debts.
1GOOGL has a Debt to FCF ratio of 0.26. This is in the better half of the industry: 1GOOGL outperforms 80.00% of its industry peers.
A Debt/Equity ratio of 0.04 indicates that 1GOOGL is not too dependend on debt financing.
1GOOGL has a better Debt to Equity ratio (0.04) than 80.00% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.04 | ||
| Debt/FCF | 0.26 | ||
| Altman-Z | 15.54 |
ROIC/WACC2.93
WACC9.15%
2.3 Liquidity
1GOOGL has a Current Ratio of 1.95. This is a normal value and indicates that 1GOOGL is financially healthy and should not expect problems in meeting its short term obligations.
1GOOGL has a Current ratio (1.95) which is in line with its industry peers.
1GOOGL has a Quick Ratio of 1.95. This is a normal value and indicates that 1GOOGL is financially healthy and should not expect problems in meeting its short term obligations.
1GOOGL has a Quick ratio (1.95) which is in line with its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.95 | ||
| Quick Ratio | 1.95 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an impressive 44.72% over the past year.
Measured over the past years, 1GOOGL shows a quite strong growth in Earnings Per Share. The EPS has been growing by 19.55% on average per year.
Looking at the last year, 1GOOGL shows a quite strong growth in Revenue. The Revenue has grown by 14.38% in the last year.
Measured over the past years, 1GOOGL shows a quite strong growth in Revenue. The Revenue has been growing by 17.57% on average per year.
EPS 1Y (TTM)44.72%
EPS 3Y25.49%
EPS 5Y19.55%
EPS Q2Q%36.77%
Revenue 1Y (TTM)14.38%
Revenue growth 3Y18.98%
Revenue growth 5Y17.57%
Sales Q2Q%15.09%
3.2 Future
Based on estimates for the next years, 1GOOGL will show a quite strong growth in Earnings Per Share. The EPS will grow by 19.80% on average per year.
1GOOGL is expected to show quite a strong growth in Revenue. In the coming years, the Revenue will grow by 11.67% yearly.
EPS Next Y42.18%
EPS Next 2Y26.2%
EPS Next 3Y22.16%
EPS Next 5Y19.8%
Revenue Next Year14.49%
Revenue Next 2Y13.07%
Revenue Next 3Y12.26%
Revenue Next 5Y11.67%
3.3 Evolution
When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is stable.
The estimated forward Revenue growth is still strong, although it is decreasing when compared to the stronger growth in the past years.
4. Valuation
4.1 Price/Earnings Ratio
A Price/Earnings ratio of 27.12 indicates a quite expensive valuation of 1GOOGL.
Based on the Price/Earnings ratio, 1GOOGL is valued a bit cheaper than the industry average as 75.00% of the companies are valued more expensively.
1GOOGL's Price/Earnings ratio indicates a similar valuation than the S&P500 average which is at 28.47.
Based on the Price/Forward Earnings ratio of 22.15, the valuation of 1GOOGL can be described as rather expensive.
Compared to the rest of the industry, the Price/Forward Earnings ratio of 1GOOGL indicates a rather cheap valuation: 1GOOGL is cheaper than 85.00% of the companies listed in the same industry.
1GOOGL's Price/Forward Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 92.74.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 27.12 | ||
| Fwd PE | 22.15 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of 1GOOGL is on the same level as its industry peers.
1GOOGL's Price/Free Cash Flow ratio is in line with the industry average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 44.86 | ||
| EV/EBITDA | 19.36 |
4.3 Compensation for Growth
The low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
1GOOGL has a very decent profitability rating, which may justify a higher PE ratio.
1GOOGL's earnings are expected to grow with 22.16% in the coming years. This may justify a more expensive valuation.
PEG (NY)0.64
PEG (5Y)1.39
EPS Next 2Y26.2%
EPS Next 3Y22.16%
5. Dividend
5.1 Amount
1GOOGL has a yearly dividend return of 0.40%, which is pretty low.
1GOOGL's Dividend Yield is a higher than the industry average which is at 1.84.
With a Dividend Yield of 0.40, 1GOOGL pays less dividend than the S&P500 average, which is at 2.28.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.4% |
5.2 History
Dividend Growth(5Y)N/A
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
DPN/A
EPS Next 2Y26.2%
EPS Next 3Y22.16%
ALPHABET INC-CL A
BIT:1GOOGL (2/4/2025, 7:00:00 PM)
197.94
+1.06 (+0.54%)
Chartmill FA Rating
GICS SectorCommunication Services
GICS IndustryGroupMedia & Entertainment
GICS IndustryInteractive Media & Services
Earnings (Last)
Earnings (Next)
Inst Owners81.14%
Inst Owner ChangeN/A
Ins Owners0.07%
Ins Owner ChangeN/A
Market Cap2422.98B
Analysts81.82
Price Target210.21 (6.2%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.4% |
Yearly DividendN/A
Dividend Growth(5Y)N/A
DPN/A
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)5.51%
Min EPS beat(2)-0.52%
Max EPS beat(2)11.53%
EPS beat(4)2
Avg EPS beat(4)8.03%
Min EPS beat(4)-0.52%
Max EPS beat(4)21.13%
EPS beat(8)5
Avg EPS beat(8)4.19%
EPS beat(12)6
Avg EPS beat(12)0.8%
EPS beat(16)10
Avg EPS beat(16)9.98%
Revenue beat(2)0
Avg Revenue beat(2)-1.49%
Min Revenue beat(2)-2.28%
Max Revenue beat(2)-0.7%
Revenue beat(4)0
Avg Revenue beat(4)-1.32%
Min Revenue beat(4)-2.28%
Max Revenue beat(4)-0.51%
Revenue beat(8)0
Avg Revenue beat(8)-1.63%
Revenue beat(12)1
Avg Revenue beat(12)-1.91%
Revenue beat(16)4
Avg Revenue beat(16)-0.52%
PT rev (1m)3.28%
PT rev (3m)11.72%
EPS NQ rev (1m)0.24%
EPS NQ rev (3m)5.14%
EPS NY rev (1m)0%
EPS NY rev (3m)0.8%
Revenue NQ rev (1m)0.01%
Revenue NQ rev (3m)1.03%
Revenue NY rev (1m)0%
Revenue NY rev (3m)0.28%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 27.12 | ||
| Fwd PE | 22.15 | ||
| P/S | 7.37 | ||
| P/FCF | 44.86 | ||
| P/OCF | 23.83 | ||
| P/B | 7.97 | ||
| P/tB | 8.87 | ||
| EV/EBITDA | 19.36 |
EPS(TTM)7.3
EY3.69%
EPS(NY)8.94
Fwd EY4.52%
FCF(TTM)4.41
FCFY2.23%
OCF(TTM)8.31
OCFY4.2%
SpS26.86
BVpS24.83
TBVpS22.31
PEG (NY)0.64
PEG (5Y)1.39
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 21.91% | ||
| ROE | 30.01% | ||
| ROCE | 31.14% | ||
| ROIC | 26.84% | ||
| ROICexc | 36.61% | ||
| ROICexgc | 41.82% | ||
| OM | 32.02% | ||
| PM (TTM) | 27.74% | ||
| GM | 57.96% | ||
| FCFM | 16.43% |
ROA(3y)18.64%
ROA(5y)16.19%
ROE(3y)26.56%
ROE(5y)22.96%
ROIC(3y)22.84%
ROIC(5y)19.1%
ROICexc(3y)38.45%
ROICexc(5y)34.29%
ROICexgc(3y)45.54%
ROICexgc(5y)41.2%
ROCE(3y)26.5%
ROCE(5y)22.15%
ROICexcg growth 3Y7.06%
ROICexcg growth 5Y0.67%
ROICexc growth 3Y8.78%
ROICexc growth 5Y2.82%
OM growth 3Y8.32%
OM growth 5Y3.8%
PM growth 3Y2.86%
PM growth 5Y1.34%
GM growth 3Y2.05%
GM growth 5Y0.16%
F-Score8
Asset Turnover0.79
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.04 | ||
| Debt/FCF | 0.26 | ||
| Debt/EBITDA | 0.1 | ||
| Cap/Depr | 388.97% | ||
| Cap/Sales | 14.5% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 86.52% | ||
| Profit Quality | 59.22% | ||
| Current Ratio | 1.95 | ||
| Quick Ratio | 1.95 | ||
| Altman-Z | 15.54 |
F-Score8
WACC9.15%
ROIC/WACC2.93
Cap/Depr(3y)221.9%
Cap/Depr(5y)205.65%
Cap/Sales(3y)10.4%
Cap/Sales(5y)11.59%
Profit Quality(3y)94.12%
Profit Quality(5y)95.79%
High Growth Momentum
Growth
EPS 1Y (TTM)44.72%
EPS 3Y25.49%
EPS 5Y19.55%
EPS Q2Q%36.77%
EPS Next Y42.18%
EPS Next 2Y26.2%
EPS Next 3Y22.16%
EPS Next 5Y19.8%
Revenue 1Y (TTM)14.38%
Revenue growth 3Y18.98%
Revenue growth 5Y17.57%
Sales Q2Q%15.09%
Revenue Next Year14.49%
Revenue Next 2Y13.07%
Revenue Next 3Y12.26%
Revenue Next 5Y11.67%
EBIT growth 1Y33.53%
EBIT growth 3Y28.87%
EBIT growth 5Y22.04%
EBIT Next Year75.68%
EBIT Next 3Y31.82%
EBIT Next 5Y24.49%
FCF growth 1Y-10.74%
FCF growth 3Y17.5%
FCF growth 5Y24.93%
OCF growth 1Y13.24%
OCF growth 3Y16.04%
OCF growth 5Y16.23%