320.12 USD
-0.16 (-0.05%)
319.85 USD
-0.27 (-0.08%)
Overall GOOG gets a fundamental rating of 7 out of 10. We evaluated GOOG against 70 industry peers in the Interactive Media & Services industry. GOOG scores excellent points on both the profitability and health parts. This is a solid base for a good stock. GOOG is not priced too expensively while it is growing strongly. Keep and eye on this one! With these ratings, GOOG could be worth investigating further for growth and quality investing!.
1. Profitability
1.1 Basic Checks
In the past year GOOG was profitable.
GOOG had a positive operating cash flow in the past year.
Each year in the past 5 years GOOG has been profitable.
Each year in the past 5 years GOOG had a positive operating cash flow.
1.2 Ratios
The Return On Assets of GOOG (23.16%) is better than 95.71% of its industry peers.
The Return On Equity of GOOG (32.12%) is better than 95.71% of its industry peers.
Looking at the Return On Invested Capital, with a value of 24.90%, GOOG belongs to the top of the industry, outperforming 90.00% of the companies in the same industry.
The Average Return On Invested Capital over the past 3 years for GOOG is significantly above the industry average of 13.56%.
The last Return On Invested Capital (24.90%) for GOOG is above the 3 year average (24.19%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 23.16% | ||
| ROE | 32.12% | ||
| ROIC | 24.9% |
ROA(3y)19%
ROA(5y)18.15%
ROE(3y)26.75%
ROE(5y)25.71%
ROIC(3y)24.19%
ROIC(5y)21.8%
1.3 Margins
GOOG has a better Profit Margin (32.23%) than 90.00% of its industry peers.
GOOG's Profit Margin has improved in the last couple of years.
Looking at the Operating Margin, with a value of 32.83%, GOOG belongs to the top of the industry, outperforming 95.71% of the companies in the same industry.
GOOG's Operating Margin has improved in the last couple of years.
GOOG has a Gross Margin (59.17%) which is in line with its industry peers.
In the last couple of years the Gross Margin of GOOG has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 32.83% | ||
| PM (TTM) | 32.23% | ||
| GM | 59.17% |
OM growth 3Y2.22%
OM growth 5Y8.01%
PM growth 3Y-1.04%
PM growth 5Y6.16%
GM growth 3Y0.73%
GM growth 5Y0.93%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is well above the Cost of Capital (WACC), so GOOG is creating value.
Compared to 1 year ago, GOOG has less shares outstanding
GOOG has less shares outstanding than it did 5 years ago.
The debt/assets ratio for GOOG has been reduced compared to a year ago.
2.2 Solvency
GOOG has an Altman-Z score of 17.97. This indicates that GOOG is financially healthy and has little risk of bankruptcy at the moment.
With an excellent Altman-Z score value of 17.97, GOOG belongs to the best of the industry, outperforming 97.14% of the companies in the same industry.
The Debt to FCF ratio of GOOG is 0.29, which is an excellent value as it means it would take GOOG, only 0.29 years of fcf income to pay off all of its debts.
GOOG's Debt to FCF ratio of 0.29 is amongst the best of the industry. GOOG outperforms 82.86% of its industry peers.
A Debt/Equity ratio of 0.06 indicates that GOOG is not too dependend on debt financing.
GOOG has a Debt to Equity ratio (0.06) which is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.06 | ||
| Debt/FCF | 0.29 | ||
| Altman-Z | 17.97 |
ROIC/WACC2.44
WACC10.19%
2.3 Liquidity
GOOG has a Current Ratio of 1.75. This is a normal value and indicates that GOOG is financially healthy and should not expect problems in meeting its short term obligations.
Looking at the Current ratio, with a value of 1.75, GOOG is in line with its industry, outperforming 47.14% of the companies in the same industry.
GOOG has a Quick Ratio of 1.75. This is a normal value and indicates that GOOG is financially healthy and should not expect problems in meeting its short term obligations.
GOOG has a Quick ratio of 1.75. This is comparable to the rest of the industry: GOOG outperforms 47.14% of its industry peers.
GOOG does not score too well on the current and quick ratio evaluation. However, as it has excellent solvency and profitability, these ratios do not necessarly indicate liquidity issues and need to be evaluated against the specifics of the business.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.75 | ||
| Quick Ratio | 1.75 |
3. Growth
3.1 Past
GOOG shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 30.37%, which is quite impressive.
GOOG shows a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 25.25% yearly.
Looking at the last year, GOOG shows a quite strong growth in Revenue. The Revenue has grown by 13.42% in the last year.
GOOG shows quite a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 16.68% yearly.
EPS 1Y (TTM)30.37%
EPS 3Y12.78%
EPS 5Y25.25%
EPS Q2Q%46.23%
Revenue 1Y (TTM)13.42%
Revenue growth 3Y10.75%
Revenue growth 5Y16.68%
Sales Q2Q%15.95%
3.2 Future
Based on estimates for the next years, GOOG will show a quite strong growth in Earnings Per Share. The EPS will grow by 17.13% on average per year.
The Revenue is expected to grow by 12.36% on average over the next years. This is quite good.
EPS Next Y32.67%
EPS Next 2Y18.31%
EPS Next 3Y17.12%
EPS Next 5Y17.13%
Revenue Next Year13.73%
Revenue Next 2Y13.22%
Revenue Next 3Y12.76%
Revenue Next 5Y12.36%
3.3 Evolution
The estimated forward EPS growth is still strong, although it is decreasing when compared to the stronger growth in the past years.
Although the future Revenue growth is still strong, it is not able to hold up the even more excellent growth rate of the past years.
4. Valuation
4.1 Price/Earnings Ratio
A Price/Earnings ratio of 32.57 indicates a quite expensive valuation of GOOG.
Compared to the rest of the industry, the Price/Earnings ratio of GOOG is on the same level as its industry peers.
When comparing the Price/Earnings ratio of GOOG to the average of the S&P500 Index (26.31), we can say GOOG is valued slightly more expensively.
The Price/Forward Earnings ratio is 28.41, which means the current valuation is very expensive for GOOG.
GOOG's Price/Forward Earnings is on the same level as the industry average.
Compared to an average S&P500 Price/Forward Earnings ratio of 36.59, GOOG is valued a bit cheaper.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 32.57 | ||
| Fwd PE | 28.41 |
4.2 Price Multiples
The rest of the industry has a similar Enterprise Value to EBITDA ratio as GOOG.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of GOOG is on the same level as its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 52.64 | ||
| EV/EBITDA | 25.51 |
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.
GOOG has an outstanding profitability rating, which may justify a higher PE ratio.
A more expensive valuation may be justified as GOOG's earnings are expected to grow with 17.12% in the coming years.
PEG (NY)1
PEG (5Y)1.29
EPS Next 2Y18.31%
EPS Next 3Y17.12%
5. Dividend
5.1 Amount
GOOG has a yearly dividend return of 0.29%, which is pretty low.
GOOG's Dividend Yield is rather good when compared to the industry average which is at 3.06. GOOG pays more dividend than 88.57% of the companies in the same industry.
With a Dividend Yield of 0.29, GOOG pays less dividend than the S&P500 average, which is at 2.40.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.29% |
5.2 History
GOOG does not have a reliable dividend history as it only pays dividend since a couple or years.
Dividend Growth(5Y)N/A
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
GOOG pays out 8.01% of its income as dividend. This is a sustainable payout ratio.
DP8.01%
EPS Next 2Y18.31%
EPS Next 3Y17.12%
320.12
-0.16 (-0.05%)
Chartmill FA Rating
GICS SectorCommunication Services
GICS IndustryGroupMedia & Entertainment
GICS IndustryInteractive Media & Services
Earnings (Last)
Earnings (Next)
Inst Owners81.14%
Inst Owner Change-3.74%
Ins Owners0.05%
Ins Owner Change0%
Market Cap3.87T
Revenue(TTM)385.48B
Net Income(TTM)124.25B
Analysts82.43
Price Target309.78 (-3.23%)
Short Float %0.68%
Short Ratio1.88
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.29% |
Yearly Dividend0.6
Dividend Growth(5Y)N/A
DP8.01%
Div Incr Years0
Div Non Decr Years0
Ex-Date
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)16.04%
Min EPS beat(2)2.67%
Max EPS beat(2)29.41%
EPS beat(4)3
Avg EPS beat(4)9.93%
Min EPS beat(4)-1.9%
Max EPS beat(4)29.41%
EPS beat(8)5
Avg EPS beat(8)8.98%
EPS beat(12)8
Avg EPS beat(12)6.1%
EPS beat(16)9
Avg EPS beat(16)3.08%
Revenue beat(2)0
Avg Revenue beat(2)-0.46%
Min Revenue beat(2)-0.53%
Max Revenue beat(2)-0.4%
Revenue beat(4)0
Avg Revenue beat(4)-1.41%
Min Revenue beat(4)-3.01%
Max Revenue beat(4)-0.4%
Revenue beat(8)0
Avg Revenue beat(8)-1.37%
Revenue beat(12)0
Avg Revenue beat(12)-1.56%
Revenue beat(16)1
Avg Revenue beat(16)-1.78%
PT rev (1m)28.62%
PT rev (3m)39.25%
EPS NQ rev (1m)2.33%
EPS NQ rev (3m)2.56%
EPS NY rev (1m)4.45%
EPS NY rev (3m)4.35%
Revenue NQ rev (1m)1.88%
Revenue NQ rev (3m)2.14%
Revenue NY rev (1m)0.78%
Revenue NY rev (3m)0.99%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 32.57 | ||
| Fwd PE | 28.41 | ||
| P/S | 10.04 | ||
| P/FCF | 52.64 | ||
| P/OCF | 25.57 | ||
| P/B | 10.01 | ||
| P/tB | 10.95 | ||
| EV/EBITDA | 25.51 |
EPS(TTM)9.83
EY3.07%
EPS(NY)11.27
Fwd EY3.52%
FCF(TTM)6.08
FCFY1.9%
OCF(TTM)12.52
OCFY3.91%
SpS31.87
BVpS31.99
TBVpS29.24
PEG (NY)1
PEG (5Y)1.29
Graham Number84.11
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 23.16% | ||
| ROE | 32.12% | ||
| ROCE | 28.96% | ||
| ROIC | 24.9% | ||
| ROICexc | 32.14% | ||
| ROICexgc | 35.65% | ||
| OM | 32.83% | ||
| PM (TTM) | 32.23% | ||
| GM | 59.17% | ||
| FCFM | 19.08% |
ROA(3y)19%
ROA(5y)18.15%
ROE(3y)26.75%
ROE(5y)25.71%
ROIC(3y)24.19%
ROIC(5y)21.8%
ROICexc(3y)36.15%
ROICexc(5y)36.02%
ROICexgc(3y)42.2%
ROICexgc(5y)42.5%
ROCE(3y)28.15%
ROCE(5y)25.36%
ROICexgc growth 3Y-6.64%
ROICexgc growth 5Y3.77%
ROICexc growth 3Y-5.3%
ROICexc growth 5Y5.86%
OM growth 3Y2.22%
OM growth 5Y8.01%
PM growth 3Y-1.04%
PM growth 5Y6.16%
GM growth 3Y0.73%
GM growth 5Y0.93%
F-Score6
Asset Turnover0.72
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.06 | ||
| Debt/FCF | 0.29 | ||
| Debt/EBITDA | 0.15 | ||
| Cap/Depr | 403.46% | ||
| Cap/Sales | 20.2% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 103.82% | ||
| Profit Quality | 59.2% | ||
| Current Ratio | 1.75 | ||
| Quick Ratio | 1.75 | ||
| Altman-Z | 17.97 |
F-Score6
WACC10.19%
ROIC/WACC2.44
Cap/Depr(3y)270.25%
Cap/Depr(5y)234.3%
Cap/Sales(3y)12.21%
Cap/Sales(5y)11.68%
Profit Quality(3y)88.97%
Profit Quality(5y)92.29%
High Growth Momentum
Growth
EPS 1Y (TTM)30.37%
EPS 3Y12.78%
EPS 5Y25.25%
EPS Q2Q%46.23%
EPS Next Y32.67%
EPS Next 2Y18.31%
EPS Next 3Y17.12%
EPS Next 5Y17.13%
Revenue 1Y (TTM)13.42%
Revenue growth 3Y10.75%
Revenue growth 5Y16.68%
Sales Q2Q%15.95%
Revenue Next Year13.73%
Revenue Next 2Y13.22%
Revenue Next 3Y12.76%
Revenue Next 5Y12.36%
EBIT growth 1Y16.37%
EBIT growth 3Y13.22%
EBIT growth 5Y26.03%
EBIT Next Year60.51%
EBIT Next 3Y28.69%
EBIT Next 5Y24.81%
FCF growth 1Y-5.24%
FCF growth 3Y2.78%
FCF growth 5Y18.63%
OCF growth 1Y42.26%
OCF growth 3Y10.99%
OCF growth 5Y18.11%
ALPHABET INC-CL C / GOOG FAQ
What is the fundamental rating for GOOG stock?
ChartMill assigns a fundamental rating of 7 / 10 to GOOG.
What is the valuation status for GOOG stock?
ChartMill assigns a valuation rating of 4 / 10 to ALPHABET INC-CL C (GOOG). This can be considered as Fairly Valued.
How profitable is ALPHABET INC-CL C (GOOG) stock?
ALPHABET INC-CL C (GOOG) has a profitability rating of 9 / 10.
What is the valuation of ALPHABET INC-CL C based on its PE and PB ratios?
The Price/Earnings (PE) ratio for ALPHABET INC-CL C (GOOG) is 32.57 and the Price/Book (PB) ratio is 10.01.
What is the financial health of ALPHABET INC-CL C (GOOG) stock?
The financial health rating of ALPHABET INC-CL C (GOOG) is 9 / 10.