ALPHABET INC-CL A (1GOOGL.MI) Stock Fundamental Analysis
BIT:1GOOGL - Euronext Milan - US02079K3059 - Common Stock - Currency: EUR
1GOOGL gets a fundamental rating of 7 out of 10. The analysis compared the fundamentals against 20 industry peers in the Interactive Media & Services industry. Both the health and profitability get an excellent rating, making 1GOOGL a very profitable company, without any liquidiy or solvency issues. 1GOOGL is not overvalued while it is showing excellent growth. This is an interesting combination. These ratings could make 1GOOGL a good candidate for growth and quality investing.
1. Profitability
1.1 Basic Checks
1GOOGL had positive earnings in the past year.
1GOOGL had a positive operating cash flow in the past year.
1GOOGL had positive earnings in each of the past 5 years.
In the past 5 years 1GOOGL always reported a positive cash flow from operatings.
1.2 Ratios
The Return On Assets of 1GOOGL (23.02%) is better than 85.00% of its industry peers.
With a decent Return On Equity value of 31.85%, 1GOOGL is doing good in the industry, outperforming 75.00% of the companies in the same industry.
1GOOGL has a better Return On Invested Capital (25.81%) than 75.00% of its industry peers.
1GOOGL had an Average Return On Invested Capital over the past 3 years of 24.15%. This is in line with the industry average of 24.27%.
The 3 year average ROIC (24.15%) for 1GOOGL is below the current ROIC(25.81%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 23.02% | ||
| ROE | 31.85% | ||
| ROIC | 25.81% |
ROA(3y)19%
ROA(5y)18.15%
ROE(3y)26.75%
ROE(5y)25.71%
ROIC(3y)24.15%
ROIC(5y)21.77%
1.3 Margins
The Profit Margin of 1GOOGL (31.12%) is better than 85.00% of its industry peers.
1GOOGL's Profit Margin has improved in the last couple of years.
1GOOGL has a Operating Margin of 33.53%. This is amongst the best in the industry. 1GOOGL outperforms 85.00% of its industry peers.
In the last couple of years the Operating Margin of 1GOOGL has grown nicely.
1GOOGL has a Gross Margin of 58.94%. This is in the better half of the industry: 1GOOGL outperforms 65.00% of its industry peers.
1GOOGL's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 33.53% | ||
| PM (TTM) | 31.12% | ||
| GM | 58.94% |
OM growth 3Y2.06%
OM growth 5Y7.91%
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 1GOOGL is creating value.
1GOOGL has less shares outstanding than it did 1 year ago.
1GOOGL has less shares outstanding than it did 5 years ago.
1GOOGL has a better debt/assets ratio than last year.
2.2 Solvency
An Altman-Z score of 13.02 indicates that 1GOOGL is not in any danger for bankruptcy at the moment.
1GOOGL's Altman-Z score of 13.02 is fine compared to the rest of the industry. 1GOOGL outperforms 70.00% of its industry peers.
1GOOGL has a debt to FCF ratio of 0.40. This is a very positive value and a sign of high solvency as it would only need 0.40 years to pay back of all of its debts.
Looking at the Debt to FCF ratio, with a value of 0.40, 1GOOGL belongs to the top of the industry, outperforming 90.00% of the companies in the same industry.
1GOOGL has a Debt/Equity ratio of 0.07. This is a healthy value indicating a solid balance between debt and equity.
1GOOGL has a Debt to Equity ratio of 0.07. This is in the better half of the industry: 1GOOGL outperforms 80.00% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.07 | ||
| Debt/FCF | 0.4 | ||
| Altman-Z | 13.02 |
ROIC/WACC2.74
WACC9.42%
2.3 Liquidity
A Current Ratio of 1.90 indicates that 1GOOGL should not have too much problems paying its short term obligations.
1GOOGL has a Current ratio of 1.90. This is in the better half of the industry: 1GOOGL outperforms 65.00% of its industry peers.
A Quick Ratio of 1.90 indicates that 1GOOGL should not have too much problems paying its short term obligations.
Looking at the Quick ratio, with a value of 1.90, 1GOOGL is in the better half of the industry, outperforming 65.00% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.9 | ||
| Quick Ratio | 1.9 |
3. Growth
3.1 Past
1GOOGL shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 26.97%, which is quite impressive.
1GOOGL shows a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 25.25% yearly.
1GOOGL shows quite a strong growth in Revenue. In the last year, the Revenue has grown by 13.13%.
The Revenue has been growing by 16.68% on average over the past years. This is quite good.
EPS 1Y (TTM)26.97%
EPS 3Y12.78%
EPS 5Y25.25%
EPS Q2Q%22.22%
Revenue 1Y (TTM)13.13%
Revenue growth 3Y10.75%
Revenue growth 5Y16.68%
Sales Q2Q%13.79%
3.2 Future
1GOOGL is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 15.78% yearly.
Based on estimates for the next years, 1GOOGL will show a quite strong growth in Revenue. The Revenue will grow by 10.45% on average per year.
EPS Next Y22.82%
EPS Next 2Y14.2%
EPS Next 3Y13.87%
EPS Next 5Y15.78%
Revenue Next Year12%
Revenue Next 2Y11.51%
Revenue Next 3Y11.24%
Revenue Next 5Y10.45%
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
1GOOGL is valuated rather expensively with a Price/Earnings ratio of 22.76.
Compared to the rest of the industry, the Price/Earnings ratio of 1GOOGL indicates a rather cheap valuation: 1GOOGL is cheaper than 85.00% of the companies listed in the same industry.
1GOOGL's Price/Earnings ratio indicates a similar valuation than the S&P500 average which is at 27.11.
1GOOGL is valuated rather expensively with a Price/Forward Earnings ratio of 19.20.
1GOOGL's Price/Forward Earnings ratio is rather cheap when compared to the industry. 1GOOGL is cheaper than 85.00% of the companies in the same industry.
The average S&P500 Price/Forward Earnings ratio is at 35.78. 1GOOGL is valued slightly cheaper when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 22.76 | ||
| Fwd PE | 19.2 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, 1GOOGL is valued a bit cheaper than 75.00% of the companies in the same industry.
Based on the Price/Free Cash Flow ratio, 1GOOGL is valued a bit cheaper than the industry average as 80.00% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 36.53 | ||
| EV/EBITDA | 16.12 |
4.3 Compensation for Growth
1GOOGL's low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
The excellent profitability rating of 1GOOGL may justify a higher PE ratio.
1GOOGL's earnings are expected to grow with 13.87% in the coming years. This may justify a more expensive valuation.
PEG (NY)1
PEG (5Y)0.9
EPS Next 2Y14.2%
EPS Next 3Y13.87%
5. Dividend
5.1 Amount
1GOOGL has a yearly dividend return of 0.43%, which is pretty low.
Compared to an average industry Dividend Yield of 2.46, 1GOOGL pays a bit more dividend than its industry peers.
With a Dividend Yield of 0.43, 1GOOGL pays less dividend than the S&P500 average, which is at 2.39.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.43% |
5.2 History
Dividend Growth(5Y)N/A
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
1GOOGL pays out 8.54% of its income as dividend. This is a sustainable payout ratio.
DP8.54%
EPS Next 2Y14.2%
EPS Next 3Y13.87%
BIT:1GOOGL (8/13/2025, 7:00:00 PM)
173.68
+0.52 (+0.3%)
Chartmill FA Rating
GICS SectorCommunication Services
GICS IndustryGroupMedia & Entertainment
GICS IndustryInteractive Media & Services
Earnings (Last)
Earnings (Next)
Inst Owners80.88%
Inst Owner ChangeN/A
Ins Owners0.05%
Ins Owner ChangeN/A
Market Cap2100.49B
Analysts81.47
Price Target189.22 (8.95%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.43% |
Yearly Dividend0.51
Dividend Growth(5Y)N/A
DP8.54%
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)6.1%
Min EPS beat(2)2.67%
Max EPS beat(2)9.52%
EPS beat(4)3
Avg EPS beat(4)5.45%
Min EPS beat(4)-1.9%
Max EPS beat(4)11.53%
EPS beat(8)5
Avg EPS beat(8)5.77%
EPS beat(12)7
Avg EPS beat(12)2.18%
EPS beat(16)9
Avg EPS beat(16)2.23%
Revenue beat(2)0
Avg Revenue beat(2)-1.05%
Min Revenue beat(2)-1.7%
Max Revenue beat(2)-0.4%
Revenue beat(4)0
Avg Revenue beat(4)-1.45%
Min Revenue beat(4)-3.01%
Max Revenue beat(4)-0.4%
Revenue beat(8)0
Avg Revenue beat(8)-1.55%
Revenue beat(12)0
Avg Revenue beat(12)-1.93%
Revenue beat(16)1
Avg Revenue beat(16)-1.76%
PT rev (1m)4.71%
PT rev (3m)3.96%
EPS NQ rev (1m)4.15%
EPS NQ rev (3m)3.24%
EPS NY rev (1m)0%
EPS NY rev (3m)8.91%
Revenue NQ rev (1m)2.34%
Revenue NQ rev (3m)1.49%
Revenue NY rev (1m)1.36%
Revenue NY rev (3m)1.48%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 22.76 | ||
| Fwd PE | 19.2 | ||
| P/S | 6.56 | ||
| P/FCF | 36.53 | ||
| P/OCF | 18.23 | ||
| P/B | 6.72 | ||
| P/tB | 7.37 | ||
| EV/EBITDA | 16.12 |
EPS(TTM)7.63
EY4.39%
EPS(NY)9.05
Fwd EY5.21%
FCF(TTM)4.75
FCFY2.74%
OCF(TTM)9.53
OCFY5.48%
SpS26.46
BVpS25.86
TBVpS23.55
PEG (NY)1
PEG (5Y)0.9
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 23.02% | ||
| ROE | 31.85% | ||
| ROCE | 30.02% | ||
| ROIC | 25.81% | ||
| ROICexc | 33.49% | ||
| ROICexgc | 37.26% | ||
| OM | 33.53% | ||
| PM (TTM) | 31.12% | ||
| GM | 58.94% | ||
| FCFM | 17.97% |
ROA(3y)19%
ROA(5y)18.15%
ROE(3y)26.75%
ROE(5y)25.71%
ROIC(3y)24.15%
ROIC(5y)21.77%
ROICexc(3y)36.09%
ROICexc(5y)35.99%
ROICexgc(3y)42.14%
ROICexgc(5y)42.46%
ROCE(3y)28.1%
ROCE(5y)25.33%
ROICexcg growth 3Y-6.79%
ROICexcg growth 5Y3.67%
ROICexc growth 3Y-5.45%
ROICexc growth 5Y5.76%
OM growth 3Y2.06%
OM growth 5Y7.91%
PM growth 3Y-1.04%
PM growth 5Y6.16%
GM growth 3Y0.73%
GM growth 5Y0.93%
F-Score6
Asset Turnover0.74
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.07 | ||
| Debt/FCF | 0.4 | ||
| Debt/EBITDA | 0.18 | ||
| Cap/Depr | 378.95% | ||
| Cap/Sales | 18.03% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 94.03% | ||
| Profit Quality | 57.74% | ||
| Current Ratio | 1.9 | ||
| Quick Ratio | 1.9 | ||
| Altman-Z | 13.02 |
F-Score6
WACC9.42%
ROIC/WACC2.74
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)26.97%
EPS 3Y12.78%
EPS 5Y25.25%
EPS Q2Q%22.22%
EPS Next Y22.82%
EPS Next 2Y14.2%
EPS Next 3Y13.87%
EPS Next 5Y15.78%
Revenue 1Y (TTM)13.13%
Revenue growth 3Y10.75%
Revenue growth 5Y16.68%
Sales Q2Q%13.79%
Revenue Next Year12%
Revenue Next 2Y11.51%
Revenue Next 3Y11.24%
Revenue Next 5Y10.45%
EBIT growth 1Y23.29%
EBIT growth 3Y13.04%
EBIT growth 5Y25.91%
EBIT Next Year60.45%
EBIT Next 3Y28.65%
EBIT Next 5Y21.09%
FCF growth 1Y-6.14%
FCF growth 3Y2.78%
FCF growth 5Y18.63%
OCF growth 1Y34.87%
OCF growth 3Y10.99%
OCF growth 5Y18.11%