ALPHABET INC-CL C (GOOG) Stock Fundamental Analysis
USA - NASDAQ:GOOG - US02079K1079 - Common Stock
301.17 USD
+8.18 (+2.79%)
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 has outstanding health and profitabily ratings, belonging to the best of the industry. This is a solid base for any company. GOOG is not priced too expensively while it is growing strongly. Keep and eye on this one! These ratings could make GOOG a good candidate 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.
In the past 5 years GOOG has always been profitable.
Each year in the past 5 years GOOG had a positive operating cash flow.
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.
GOOG has a Return On Equity of 32.12%. This is amongst the best in the industry. GOOG outperforms 95.71% of its industry peers.
GOOG has a better Return On Invested Capital (24.90%) than 91.43% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for GOOG is significantly above the industry average of 13.23%.
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.
The Operating Margin of GOOG (32.83%) is better than 95.71% of its industry peers.
In the last couple of years the Operating Margin of GOOG has grown nicely.
With a Gross Margin value of 59.17%, GOOG perfoms like the industry average, outperforming 48.57% of the companies in the same industry.
GOOG's Gross Margin has been stable in the last couple of years.
| 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.
The number of shares outstanding for GOOG has been reduced compared to 1 year ago.
Compared to 5 years ago, GOOG has less shares outstanding
GOOG has a better debt/assets ratio than last year.
2.2 Solvency
An Altman-Z score of 16.65 indicates that GOOG is not in any danger for bankruptcy at the moment.
The Altman-Z score of GOOG (16.65) is better than 98.57% 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.
With an excellent Debt to FCF ratio value of 0.29, GOOG belongs to the best of the industry, outperforming 82.86% of the companies in the same industry.
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 of 0.06. This is comparable to the rest of the industry: GOOG outperforms 55.71% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.06 | ||
| Debt/FCF | 0.29 | ||
| Altman-Z | 16.65 |
ROIC/WACC2.48
WACC10.04%
2.3 Liquidity
A Current Ratio of 1.75 indicates that GOOG should not have too much problems paying its short term obligations.
GOOG has a Current ratio of 1.75. This is comparable to the rest of the industry: GOOG outperforms 45.71% of its industry peers.
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's Quick ratio of 1.75 is in line compared to the rest of the industry. GOOG outperforms 45.71% 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.
The Earnings Per Share has been growing by 25.25% on average over the past years. This is a very strong growth
GOOG shows quite a strong growth in Revenue. In the last year, the Revenue has grown by 13.42%.
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
The Earnings Per Share is expected to grow by 17.13% on average over the next years. This is quite good.
GOOG is expected to show quite a strong growth in Revenue. In the coming years, the Revenue will grow by 12.36% yearly.
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
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.
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 30.64 indicates a quite expensive valuation of GOOG.
GOOG's Price/Earnings is on the same level as the industry average.
GOOG is valuated rather expensively when we compare the Price/Earnings ratio to 25.47, which is the current average of the S&P500 Index.
Based on the Price/Forward Earnings ratio of 26.73, the valuation of GOOG can be described as expensive.
Compared to the rest of the industry, the Price/Forward Earnings ratio of GOOG is on the same level as its industry peers.
The average S&P500 Price/Forward Earnings ratio is at 35.42. GOOG is valued slightly cheaper when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 30.64 | ||
| Fwd PE | 26.73 |
4.2 Price Multiples
GOOG's Enterprise Value to EBITDA is on the same level as the industry average.
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 | 49.52 | ||
| EV/EBITDA | 23.25 |
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.
GOOG's earnings are expected to grow with 17.12% in the coming years. This may justify a more expensive valuation.
PEG (NY)0.94
PEG (5Y)1.21
EPS Next 2Y18.31%
EPS Next 3Y17.12%
5. Dividend
5.1 Amount
With a yearly dividend of 0.30%, GOOG is not a good candidate for dividend investing.
Compared to an average industry Dividend Yield of 2.83, GOOG pays a better dividend. On top of this GOOG pays more dividend than 88.57% of the companies listed in the same industry.
With a Dividend Yield of 0.30, GOOG pays less dividend than the S&P500 average, which is at 2.44.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.3% |
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 2Y18.31%
EPS Next 3Y17.12%
NASDAQ:GOOG (11/20/2025, 9:42:09 AM)
301.17
+8.18 (+2.79%)
Chartmill FA Rating
GICS SectorCommunication Services
GICS IndustryGroupMedia & Entertainment
GICS IndustryInteractive Media & Services
Earnings (Last)
Earnings (Next)
Inst Owners81.14%
Inst Owner Change-3.7%
Ins Owners0.05%
Ins Owner Change0%
Market Cap3.64T
Revenue(TTM)385.48B
Net Income(TTM)124.25B
Analysts82.43
Price Target263.95 (-12.36%)
Short Float %0.68%
Short Ratio1.88
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.3% |
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)9.59%
PT rev (3m)19.04%
EPS NQ rev (1m)2.49%
EPS NQ rev (3m)2.77%
EPS NY rev (1m)4.27%
EPS NY rev (3m)8.02%
Revenue NQ rev (1m)1.92%
Revenue NQ rev (3m)2.1%
Revenue NY rev (1m)0.83%
Revenue NY rev (3m)1.54%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 30.64 | ||
| Fwd PE | 26.73 | ||
| P/S | 9.45 | ||
| P/FCF | 49.52 | ||
| P/OCF | 24.05 | ||
| P/B | 9.41 | ||
| P/tB | 10.3 | ||
| EV/EBITDA | 23.25 |
EPS(TTM)9.83
EY3.26%
EPS(NY)11.27
Fwd EY3.74%
FCF(TTM)6.08
FCFY2.02%
OCF(TTM)12.52
OCFY4.16%
SpS31.87
BVpS31.99
TBVpS29.24
PEG (NY)0.94
PEG (5Y)1.21
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 | 16.65 |
F-Score6
WACC10.04%
ROIC/WACC2.48
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 30.64 and the Price/Book (PB) ratio is 9.41.
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.