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ALPHABET INC-CL A (NASDAQ:GOOGL) Exhibits Quality Stock Traits. Here's Why.

By Mill Chart

Last update: Mar 25, 2024

Quality investors are looking for the best of the best. Companies which are growing steadily and consistently, but are also in excellent financial condition. We will have a look here to see if ALPHABET INC-CL A (NASDAQ:GOOGL) is suited for quality investing. Investors should of course do their own research, but we spotted ALPHABET INC-CL A showing up in our Caviar Cruise quality screen, so it may be worth spending some more time on it.

Highlighting Notable Quality Metrics of NASDAQ:GOOGL.

  • The 5-year revenue growth of ALPHABET INC-CL A has been remarkable, with 17.57% increase. This showcases the company's strong performance in driving revenue growth and indicates its competitiveness within the market.
  • With a notable ROIC excluding cash and goodwill at 41.6%, ALPHABET INC-CL A demonstrates its commitment to generating sustainable returns for shareholders. This metric emphasizes the company's effective use of capital and its ability to deliver long-term value.
  • ALPHABET INC-CL A maintains a healthy Debt/Free Cash Flow Ratio of 0.2, indicating a strong financial position and prudent debt management. This ratio suggests the company has sufficient free cash flow to cover its debt obligations and highlights its ability to generate cash from operations.
  • With a robust Profit Quality (5-year) ratio of 95.79%, ALPHABET INC-CL A highlights its ability to consistently generate high-quality profits. This metric reflects the company's effective management and operational excellence in delivering reliable earnings over the long term.
  • ALPHABET INC-CL A has demonstrated consistent growth in EBIT over the past 5 years, with a strong 22.04%. This signifies the company's ability to generate sustainable earnings and reflects its positive financial trajectory.
  • ALPHABET INC-CL A has achieved impressive EBIT 5-year growth, surpassing its Revenue 5-year growth. This indicates the company's ability to improve its profitability and operational efficiency, highlighting its strong financial performance.

What else is there to say on the fundamentals of NASDAQ:GOOGL?

ChartMill assigns a Fundamental Rating to every stock. This score ranges from 0 to 10 and is updated daily. The score is determined by evaluating multiple fundamental indicators and properties.

GOOGL gets a fundamental rating of 7 out of 10. The analysis compared the fundamentals against 67 industry peers in the Interactive Media & Services industry. GOOGL gets an excellent profitability rating and is at the same time showing great financial health properties. GOOGL has a decent growth rate and is not valued too expensively. This makes GOOGL very considerable for quality investing!

For an up to date full fundamental analysis you can check the fundamental report of GOOGL

More ideas for quality investing can be found on ChartMill in our Caviar Cruise screen.

Disclaimer

Important Note: The content of this article is not intended as trading advice. It is essential to perform your own analysis and exercise caution when making trading decisions. The article presents observations created by automated analysis but does not guarantee any trading or investment outcomes. Always trade responsibly and make independent judgments.

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ALPHABET INC-CL A

NASDAQ:GOOGL (4/19/2024, 7:00:00 PM)

After market: 153.1 -0.99 (-0.64%)

154.09

-1.92 (-1.23%)

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