322.09 USD
+3.7 (+1.16%)
321.23 USD
-0.86 (-0.27%)
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 not overvalued while it is showing excellent growth. This is an interesting 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.
In the past 5 years GOOG has always been profitable.
In the past 5 years GOOG always reported a positive cash flow from operatings.
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.
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.
Measured over the past 3 years, the Average Return On Invested Capital 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
With an excellent Profit Margin value of 32.23%, GOOG belongs to the best of the industry, outperforming 90.00% of the companies in the same industry.
GOOG's Profit Margin has improved in the last couple of years.
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.
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
GOOG has a Return on Invested Capital (ROIC), which is well above the Cost of Capital (WACC), which means it is creating value.
Compared to 1 year ago, GOOG has less shares outstanding
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 17.85 indicates that GOOG is not in any danger for bankruptcy at the moment.
GOOG's Altman-Z score of 17.85 is amongst the best of 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.
GOOG has a better Debt to FCF ratio (0.29) than 82.86% 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's Debt to Equity ratio of 0.06 is in line compared 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 | 17.85 |
ROIC/WACC2.38
WACC10.47%
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.
With a Current ratio value of 1.75, GOOG perfoms like the industry average, outperforming 47.14% of the companies in the same industry.
A Quick Ratio of 1.75 indicates that GOOG should not have too much problems paying its short term obligations.
GOOG's Quick ratio of 1.75 is in line compared to the rest of the industry. GOOG outperforms 47.14% of its industry peers.
The current and quick ratio evaluation for GOOG is rather negative, while it does have 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.
GOOG shows a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 25.25% yearly.
The Revenue has grown by 13.42% in the past year. This is quite good.
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.
Based on estimates for the next years, GOOG will show a quite strong growth in Revenue. The Revenue will grow by 12.49% on average per year.
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 5Y12.49%
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
GOOG is valuated quite expensively with a Price/Earnings ratio of 32.77.
GOOG's Price/Earnings ratio is in line with the industry average.
The average S&P500 Price/Earnings ratio is at 26.46. GOOG is valued slightly more expensive when compared to this.
With a Price/Forward Earnings ratio of 28.59, GOOG can be considered very expensive at the moment.
GOOG's Price/Forward Earnings ratio is in line with the industry average.
When comparing the Price/Forward Earnings ratio of GOOG to the average of the S&P500 Index (36.10), we can say GOOG is valued slightly cheaper.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 32.77 | ||
| Fwd PE | 28.59 |
4.2 Price Multiples
GOOG's Enterprise Value to EBITDA ratio is in line with 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 | 52.84 | ||
| EV/EBITDA | 25.3 |
4.3 Compensation for Growth
GOOG's PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct 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)1.3
EPS Next 2Y18.31%
EPS Next 3Y17.12%
5. Dividend
5.1 Amount
With a yearly dividend of 0.26%, GOOG is not a good candidate for dividend investing.
Compared to an average industry Dividend Yield of 3.06, 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 2.32, GOOG's dividend is way lower than the S&P500 average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.26% |
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 2Y18.31%
EPS Next 3Y17.12%
322.09
+3.7 (+1.16%)
Chartmill FA Rating
GICS SectorCommunication Services
GICS IndustryGroupMedia & Entertainment
GICS IndustryInteractive Media & Services
Earnings (Last)
Earnings (Next)
Inst Owners81.23%
Inst Owner Change-3.74%
Ins Owners0.05%
Ins Owner Change0%
Market Cap3.89T
Revenue(TTM)385.48B
Net Income(TTM)124.25B
Analysts82.74
Price Target317.81 (-1.33%)
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)17.31%
PT rev (3m)39.25%
EPS NQ rev (1m)2.28%
EPS NQ rev (3m)2.74%
EPS NY rev (1m)4.45%
EPS NY rev (3m)4.35%
Revenue NQ rev (1m)1.86%
Revenue NQ rev (3m)2.24%
Revenue NY rev (1m)0.78%
Revenue NY rev (3m)0.99%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 32.77 | ||
| Fwd PE | 28.59 | ||
| P/S | 10.08 | ||
| P/FCF | 52.84 | ||
| P/OCF | 25.67 | ||
| P/B | 10.05 | ||
| P/tB | 10.99 | ||
| EV/EBITDA | 25.3 |
EPS(TTM)9.83
EY3.05%
EPS(NY)11.27
Fwd EY3.5%
FCF(TTM)6.1
FCFY1.89%
OCF(TTM)12.55
OCFY3.9%
SpS31.94
BVpS32.06
TBVpS29.3
PEG (NY)1
PEG (5Y)1.3
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 | 17.85 |
F-Score6
WACC10.47%
ROIC/WACC2.38
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 5Y12.49%
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 32.77 and the Price/Book (PB) ratio is 10.05.
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.