GOOGL

Alphabet Inc.

Fundamental data last updated:May 13, 2026

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company profile

SECTOR

Communication Services

industry

Internet Content & Information

Exchange

NASDAQ

County of HQ

US

Next Earnings Date

07/22/2026

Business Summary

Alphabet Inc. provides various products and platforms in the United States, Europe, the Middle East, Africa, the Asia-Pacific, Canada, and Latin America. It operates through Google Services, Google Cloud, and Other Bets segments. The Google Services segment offers products and services, including ads, Android, Chrome, hardware, Gmail, Google Drive, Google Maps, Google Photos, Google Play, Search, and YouTube. It is also involved in the sale of apps and in-app purchases and digital content in the Google Play store; and Fitbit wearable devices, Google Nest home products, Pixel phones, and other devices, as well as in the provision of YouTube non-advertising services. The Google Cloud segment offers infrastructure, platform, and other services; Google Workspace that include cloud-based collaboration tools for enterprises, such as Gmail, Docs, Drive, Calendar, and Meet; and other services for enterprise customers. The Other Bets segment sells health technology and internet services. The company was founded in 1998 and is headquartered in Mountain View, California.

 


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VALUATION

P/E

29.35

Market Cap ($M USD)

$4.70T

Forward P/E

16.57

PEG

0.21

PRICE TO SALES

11.12

PRICE TO BOOK

9.82

EV / EBITDA

21.72

5-Year Average P/E

Free Cash Flow Yield

1.37%

DCF Value

$131.66

Graham Number

$108.58

Price to FCF

72.96

EV to FCF

73.77

Earnings Yield

3.41%

FCF Yield

1.37%

DIVIDEND

Yield

0.22%

Annual Payout

$0.84

Payout Ratio

6.34%

Consecutive Years of Dividend Growth

5-Year Dividend Growth Rate

Financial Health & Profitability

Earnings Per Share

$13.24

Next Year EPS Growth Estimate

$23.46

Next Year Revenue Growth Estimate

$85.57T

Return on Equity (ROE)

38.98%

FREE CASH FLOW

Operating Margin

32.70%

Debt-to-Equity

0.14

Piotroski F-Score

7

Altman Z-Score

14.98

Return on Invested Capital (ROIC)

23.32%

Current Ratio

1.92

Quick Ratio

1.92

Net Debt to EBITDA

0.24

Interest Coverage

276.95

Gross Profit margin

60.37%

FCF PER SHARE

$5.33

REVENUE PER SHARE

$34.93

Analyze GOOGL on TradingView

Gainseekers Quantitative Analysis

Summary

The market seems to be pricing Alphabet Inc. with a sense of optimism that borders on exuberance. Despite a Forward P/E of 17.08 suggesting some growth expectations, the stock’s snapshot price was significantly extended above its DCF value, indicating potential overvaluation. The Altman Z-score of 15.37 reflects a fortress-like financial stability, yet the earnings yield of just 3.30% raises questions about its current income-generating potential. The Graham Number further underscores this overvaluation, hinting that the stock may be trading at a premium. Overall, while the company is financially robust, the valuation metrics suggest a disconnect between price and intrinsic value.

AI Exposure / Tech Reliance

As a leader in the Internet Content & Information industry, Alphabet Inc. is exceptionally well-positioned to leverage AI advancements. The company's vast data resources and technological infrastructure provide a solid foundation for integrating AI into its services. This adaptability ensures resilience in the face of rapid tech shifts, keeping it at the forefront of innovation.

The Bull Case

For the discerning GARP investor, Alphabet's appeal lies in its impressive ROIC of 23.32%, indicating efficient capital allocation and strong returns on investments. The Piotroski F-Score of 7 suggests solid financial health, while an operating margin of 32.70% highlights its pricing power and operational efficiency. Despite a modest FCF yield of 1.33%, the company's ability to generate consistent free cash flow per share showcases its potential for long-term value creation. These metrics paint a picture of a company with robust fundamentals and strategic growth prospects.

The Bear Case

However, the stock's lofty Price/Book ratio of 10.13 and Price/Sales ratio of 11.47 suggest it is priced for perfection, leaving little room for error. The price's proximity to its 52-week high indicates potential technical overextension, which could pose risks if market sentiment shifts. Additionally, the EV to FCF ratio of 76.05 highlights a concerning cash flow valuation, suggesting that investors are paying a premium for future cash flows that may not materialize as expected. These factors could deter value investors wary of paying too much for growth.

Market Sentiment & Smart Money

Short Interest %

Analyst Consensus

Buy

Average Analyst Price Target

$406.28

Institutional Ownership %

1-Year Beta

1.27

Insider Buying % (6 Mo)

Distance to 52-Week High

3.44%

Distance to 52-Week Low

59.82%

EARNINGS SURPRISE %

93.56%

50-DAY SMA

$325.27

200-DAY SMA

$287.26

⚠️ Financial Disclaimer:
This content is for informational purposes only and is not financial advice. Information may be delayed or inaccurate. We may earn a commission from partner links.