338.53 USD
-0.13 (-0.04%)
At close: Jan 30, 2026
338.142 USD
-0.39 (-0.11%)
After Hours: 1/30/2026, 8:00:01 PM
Taking everything into account, GOOG scores 7 out of 10 in our fundamental rating. GOOG was compared to 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 growing strongly while it is still valued neutral. This is a good combination! This makes GOOG very considerable for growth and quality investing!
1. Profitability
1.1 Basic Checks
- In the past year GOOG was profitable.
- 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
- GOOG's Return On Assets of 23.16% is amongst the best of the industry. GOOG outperforms 95.71% of its industry peers.
- Looking at the Return On Equity, with a value of 32.12%, GOOG belongs to the top of the industry, outperforming 95.71% of the companies in the same industry.
- Looking at the Return On Invested Capital, with a value of 24.90%, GOOG belongs to the top of the industry, outperforming 91.43% 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 13.53%.
- 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's Profit Margin of 32.23% is amongst the best of the industry. GOOG outperforms 91.43% of its industry peers.
- In the last couple of years the Profit Margin of GOOG has grown nicely.
- With an excellent Operating Margin value of 32.83%, GOOG belongs to the best 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.
- The Gross Margin of GOOG (59.17%) 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
- GOOG has a Return on Invested Capital (ROIC), which is well above the Cost of Capital (WACC), which means it is creating value.
- GOOG has less shares outstanding than it did 1 year ago.
- Compared to 5 years ago, GOOG has less shares outstanding
- The debt/assets ratio for GOOG has been reduced compared to a year ago.
2.2 Solvency
- An Altman-Z score of 18.83 indicates that GOOG is not in any danger for bankruptcy at the moment.
- The Altman-Z score of GOOG (18.83) is better than 97.14% of its industry peers.
- 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 has a Debt to FCF ratio of 0.29. This is amongst the best in 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.
- Looking at the Debt to Equity ratio, with a value of 0.06, GOOG is in line with its industry, outperforming 54.29% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.06 | ||
| Debt/FCF | 0.29 | ||
| Altman-Z | 18.83 |
ROIC/WACC2.8
WACC8.88%
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.
- GOOG has a Current ratio (1.75) which is in line with its industry peers.
- A Quick Ratio of 1.75 indicates that GOOG should not have too much problems paying its short term obligations.
- The Quick ratio of GOOG (1.75) 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
- 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.
- Measured over the past years, GOOG shows a very strong growth in Earnings Per Share. The EPS has been growing by 25.25% on average per year.
- GOOG shows quite a strong growth in Revenue. In the last year, the Revenue has grown by 13.42%.
- 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 16.87% on average per year.
- The Revenue is expected to grow by 12.67% on average over the next years. This is quite good.
EPS Next Y35.48%
EPS Next 2Y19.79%
EPS Next 3Y18.39%
EPS Next 5Y16.87%
Revenue Next Year13.94%
Revenue Next 2Y13.85%
Revenue Next 3Y13.55%
Revenue Next 5Y12.67%
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
- The Price/Earnings ratio is 34.44, which means the current valuation is very expensive for GOOG.
- GOOG's Price/Earnings ratio is in line with the industry average.
- Compared to an average S&P500 Price/Earnings ratio of 28.30, GOOG is valued a bit more expensive.
- Based on the Price/Forward Earnings ratio of 29.31, the valuation of GOOG can be described as expensive.
- The rest of the industry has a similar Price/Forward Earnings ratio as GOOG.
- When comparing the Price/Forward Earnings ratio of GOOG to the average of the S&P500 Index (25.57), we can say GOOG is valued inline with the index average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 34.44 | ||
| Fwd PE | 29.31 |
4.2 Price Multiples
- GOOG's Enterprise Value to EBITDA is on the same level as the industry average.
- The rest of the industry has a similar Price/Free Cash Flow ratio as GOOG.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 55.54 | ||
| EV/EBITDA | 26.97 |
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 18.39% in the coming years.
PEG (NY)0.97
PEG (5Y)1.36
EPS Next 2Y19.79%
EPS Next 3Y18.39%
5. Dividend
5.1 Amount
- GOOG has a yearly dividend return of 0.25%, which is pretty low.
- Compared to an average industry Dividend Yield of 0.77, GOOG pays a better dividend. On top of this GOOG pays more dividend than 87.14% of the companies listed in the same industry.
- Compared to an average S&P500 Dividend Yield of 1.82, GOOG's dividend is way lower than the S&P500 average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.25% |
5.2 History
- GOOG is new to the dividend game and has less than 3 years of track record.
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 2Y19.79%
EPS Next 3Y18.39%
ALPHABET INC-CL C / GOOG FAQ
Can you provide the ChartMill fundamental rating for ALPHABET INC-CL C?
ChartMill assigns a fundamental rating of 7 / 10 to GOOG.
Can you provide the valuation status for ALPHABET INC-CL C?
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 financial health of ALPHABET INC-CL C (GOOG) stock?
The financial health rating of ALPHABET INC-CL C (GOOG) is 9 / 10.
Can you provide the dividend sustainability for GOOG stock?
The dividend rating of ALPHABET INC-CL C (GOOG) is 3 / 10 and the dividend payout ratio is 8.01%.