317.75 USD
+3.3 (+1.05%)
317.11 USD
-0.64 (-0.2%)
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 has outstanding health and profitabily ratings, belonging to the best of the industry. This is a solid base for any company. GOOG is growing strongly while it is still valued neutral. This is a good combination! These ratings would make GOOG suitable for growth and quality investing!
1. Profitability
1.1 Basic Checks
GOOG had positive earnings in the past year.
In the past year GOOG had a positive cash flow from operations.
Each year in the past 5 years GOOG has been profitable.
GOOG had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
The Return On Assets of GOOG (23.16%) is better than 95.71% of its industry peers.
GOOG's Return On Equity of 32.12% is amongst the best of the industry. GOOG outperforms 95.71% of its industry peers.
With an excellent Return On Invested Capital value of 24.90%, GOOG belongs to the best of the industry, outperforming 90.00% of the companies in the same industry.
Measured over the past 3 years, the Average Return On Invested Capital for GOOG is significantly above the industry average of 14.04%.
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.
In the last couple of years the Profit Margin of GOOG has grown nicely.
GOOG has a Operating Margin of 32.83%. This is amongst the best in the industry. GOOG outperforms 95.71% of its industry peers.
In the last couple of years the Operating Margin of GOOG has grown nicely.
GOOG has a Gross Margin (59.17%) which is comparable to the rest of the industry.
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.
GOOG has less shares outstanding than it did 1 year ago.
Compared to 5 years ago, GOOG has less shares outstanding
Compared to 1 year ago, GOOG has an improved debt to assets ratio.
2.2 Solvency
GOOG has an Altman-Z score of 17.66. This indicates that GOOG is financially healthy and has little risk of bankruptcy at the moment.
GOOG has a Altman-Z score of 17.66. This is amongst the best in the industry. GOOG outperforms 97.14% of its industry peers.
GOOG has a debt to FCF ratio of 0.29. This is a very positive value and a sign of high solvency as it would only need 0.29 years to pay back of all of its debts.
The Debt to FCF ratio of GOOG (0.29) is better than 84.29% of its industry peers.
GOOG has a Debt/Equity ratio of 0.06. This is a healthy value indicating a solid balance between debt and equity.
GOOG has a Debt to Equity ratio (0.06) which is in line with its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.06 | ||
| Debt/FCF | 0.29 | ||
| Altman-Z | 17.66 |
ROIC/WACC2.33
WACC10.68%
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.
The Current ratio of GOOG (1.75) is comparable to the rest of the industry.
A Quick Ratio of 1.75 indicates that GOOG should not have too much problems paying its short term obligations.
GOOG has a Quick ratio (1.75) which is comparable to the rest of the industry.
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
The Earnings Per Share has grown by an impressive 30.37% over the past year.
The Earnings Per Share has been growing by 25.25% on average over the past years. This is a very strong growth
Looking at the last year, GOOG shows a quite strong growth in Revenue. The Revenue has grown by 13.42% in the last year.
The Revenue has been growing by 16.68% on average over the past years. This is quite good.
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 12.49% on average over the next years. This is quite good.
EPS Next Y35.33%
EPS Next 2Y19.34%
EPS Next 3Y17.89%
EPS Next 5Y17.13%
Revenue Next Year13.89%
Revenue Next 2Y13.63%
Revenue Next 3Y13.1%
Revenue Next 5Y12.49%
3.3 Evolution
Although the future EPS growth is still strong, it is not able to hold up the even more excellent growth rate of the past years.
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
With a Price/Earnings ratio of 32.32, GOOG can be considered very expensive at the moment.
Compared to the rest of the industry, the Price/Earnings ratio of GOOG is on the same level as its industry peers.
GOOG is valuated rather expensively when we compare the Price/Earnings ratio to 26.28, which is the current average of the S&P500 Index.
The Price/Forward Earnings ratio is 27.71, which means the current valuation is very expensive for GOOG.
GOOG's Price/Forward Earnings is on the same level as the industry average.
GOOG is valuated at similar levels of the S&P average when we compare the Price/Forward Earnings ratio to 23.52, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 32.32 | ||
| Fwd PE | 27.71 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of GOOG is on the same level as its industry peers.
GOOG's Price/Free Cash Flow is on the same level as the industry average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 52.13 | ||
| EV/EBITDA | 24.97 |
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.
The excellent profitability rating of GOOG may justify a higher PE ratio.
A more expensive valuation may be justified as GOOG's earnings are expected to grow with 17.89% in the coming years.
PEG (NY)0.91
PEG (5Y)1.28
EPS Next 2Y19.34%
EPS Next 3Y17.89%
5. Dividend
5.1 Amount
GOOG has a yearly dividend return of 0.26%, which is pretty low.
Compared to an average industry Dividend Yield of 3.04, GOOG pays a better dividend. On top of this GOOG pays more dividend than 88.57% of the companies listed in the same industry.
Compared to an average S&P500 Dividend Yield of 2.31, GOOG's dividend is way lower than the S&P500 average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.26% |
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
8.01% of the earnings are spent on dividend by GOOG. This is a low number and sustainable payout ratio.
DP8.01%
EPS Next 2Y19.34%
EPS Next 3Y17.89%
317.75
+3.3 (+1.05%)
Chartmill FA Rating
GICS SectorCommunication Services
GICS IndustryGroupMedia & Entertainment
GICS IndustryInteractive Media & Services
Earnings (Last)
Earnings (Next)
Inst Owners81.23%
Inst Owner Change-3.69%
Ins Owners0.05%
Ins Owner Change0%
Market Cap3.83T
Revenue(TTM)385.48B
Net Income(TTM)124.25B
Analysts82.74
Price Target317.81 (0.02%)
Short Float %0.61%
Short Ratio1.51
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.26% |
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)20.35%
PT rev (3m)42.86%
EPS NQ rev (1m)0.34%
EPS NQ rev (3m)2.89%
EPS NY rev (1m)2.01%
EPS NY rev (3m)6.44%
Revenue NQ rev (1m)0.16%
Revenue NQ rev (3m)2.3%
Revenue NY rev (1m)0.15%
Revenue NY rev (3m)1.14%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 32.32 | ||
| Fwd PE | 27.71 | ||
| P/S | 9.95 | ||
| P/FCF | 52.13 | ||
| P/OCF | 25.32 | ||
| P/B | 9.91 | ||
| P/tB | 10.84 | ||
| EV/EBITDA | 24.97 |
EPS(TTM)9.83
EY3.09%
EPS(NY)11.47
Fwd EY3.61%
FCF(TTM)6.1
FCFY1.92%
OCF(TTM)12.55
OCFY3.95%
SpS31.94
BVpS32.06
TBVpS29.3
PEG (NY)0.91
PEG (5Y)1.28
Graham Number84.21
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 | 17.66 |
F-Score6
WACC10.68%
ROIC/WACC2.33
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 Y35.33%
EPS Next 2Y19.34%
EPS Next 3Y17.89%
EPS Next 5Y17.13%
Revenue 1Y (TTM)13.42%
Revenue growth 3Y10.75%
Revenue growth 5Y16.68%
Sales Q2Q%15.95%
Revenue Next Year13.89%
Revenue Next 2Y13.63%
Revenue Next 3Y13.1%
Revenue Next 5Y12.49%
EBIT growth 1Y16.37%
EBIT growth 3Y13.22%
EBIT growth 5Y26.03%
EBIT Next Year60.28%
EBIT Next 3Y31.57%
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 32.32 and the Price/Book (PB) ratio is 9.91.
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.