329.14 USD
+3.13 (+0.96%)
329.61 USD
+0.47 (+0.14%)
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 gets an excellent profitability rating and is at the same time showing great financial health properties. 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.
Each year in the past 5 years GOOG has been profitable.
In the past 5 years GOOG always reported a positive cash flow from operatings.
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.
Looking at the Return On Equity, with a value of 32.12%, GOOG belongs to the top of the industry, outperforming 95.71% of the companies in the same industry.
The Return On Invested Capital of GOOG (24.90%) is better than 90.00% of its industry peers.
The Average Return On Invested Capital over the past 3 years for GOOG is significantly above the industry average of 13.70%.
The 3 year average ROIC (24.19%) for GOOG is below the current ROIC(24.90%), indicating increased profibility in the last year.
| 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 91.43% of the companies in the same industry.
GOOG's Profit Margin has improved in the last couple of years.
Looking at the Operating Margin, with a value of 32.83%, GOOG belongs to the top of the industry, outperforming 95.71% of the companies in the same industry.
GOOG's Operating Margin has improved in the last couple of years.
GOOG has a Gross Margin (59.17%) which is comparable to the rest of the industry.
In the last couple of years the Gross Margin of GOOG has remained more or less at the same level.
| 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
With a Return on Invested Capital (ROIC) well above the Cost of Capital (WACC), GOOG is creating value.
The number of shares outstanding for GOOG has been reduced compared to 1 year ago.
GOOG has less shares outstanding than it did 5 years ago.
The debt/assets ratio for GOOG has been reduced compared to a year ago.
2.2 Solvency
GOOG has an Altman-Z score of 18.22. This indicates that GOOG is financially healthy and has little risk of bankruptcy at the moment.
GOOG has a better Altman-Z score (18.22) than 95.71% of its industry peers.
The Debt to FCF ratio of GOOG is 0.29, which is an excellent value as it means it would take GOOG, only 0.29 years of fcf income to pay off 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.
A Debt/Equity ratio of 0.06 indicates that GOOG is not too dependend on debt financing.
With a Debt to Equity ratio value of 0.06, GOOG perfoms like the industry average, outperforming 54.29% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.06 | ||
| Debt/FCF | 0.29 | ||
| Altman-Z | 18.22 |
ROIC/WACC2.83
WACC8.81%
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 (1.75) which is comparable to the rest of the industry.
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 has a Quick ratio of 1.75. This is comparable to the rest of the industry: GOOG outperforms 48.57% 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
The Earnings Per Share has grown by an impressive 30.37% over the past year.
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%.
The Revenue has been growing by 16.68% on average over the past years. This is quite good.
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.
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 Y35.39%
EPS Next 2Y19.53%
EPS Next 3Y18.08%
EPS Next 5Y17.13%
Revenue Next Year13.9%
Revenue Next 2Y13.65%
Revenue Next 3Y13.17%
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.
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
With a Price/Earnings ratio of 33.48, GOOG can be considered very expensive at the moment.
GOOG's Price/Earnings is on the same level as the industry average.
GOOG's Price/Earnings ratio indicates a valuation a bit more expensive than the S&P500 average which is at 27.19.
A Price/Forward Earnings ratio of 28.62 indicates a quite expensive valuation of GOOG.
The rest of the industry has a similar Price/Forward Earnings ratio as GOOG.
The average S&P500 Price/Forward Earnings ratio is at 23.88. GOOG is around the same levels.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 33.48 | ||
| Fwd PE | 28.62 |
4.2 Price Multiples
GOOG's Enterprise Value to EBITDA is on the same level as the industry average.
GOOG's Price/Free Cash Flow is on the same level as the industry average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 54 | ||
| EV/EBITDA | 25.93 |
4.3 Compensation for Growth
GOOG's low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap 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 18.08% in the coming years.
PEG (NY)0.95
PEG (5Y)1.33
EPS Next 2Y19.53%
EPS Next 3Y18.08%
5. Dividend
5.1 Amount
With a yearly dividend of 0.27%, GOOG is not a good candidate for dividend investing.
Compared to an average industry Dividend Yield of 0.48, GOOG pays a better dividend. On top of this GOOG pays more dividend than 90.00% of the companies listed in the same industry.
With a Dividend Yield of 0.27, GOOG pays less dividend than the S&P500 average, which is at 1.94.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.27% |
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
8.01% of the earnings are spent on dividend by GOOG. This is a low number and sustainable payout ratio.
DP8.01%
EPS Next 2Y19.53%
EPS Next 3Y18.08%
329.14
+3.13 (+0.96%)
Chartmill FA Rating
GICS SectorCommunication Services
GICS IndustryGroupMedia & Entertainment
GICS IndustryInteractive Media & Services
Earnings (Last)
Earnings (Next)
Inst Owners81.24%
Inst Owner Change0%
Ins Owners0.05%
Ins Owner Change0%
Market Cap3.97T
Revenue(TTM)385.48B
Net Income(TTM)124.25B
Analysts82.74
Price Target323.23 (-1.8%)
Short Float %0.97%
Short Ratio2.32
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.27% |
Yearly Dividend0.6
Dividend Growth(5Y)N/A
DP8.01%
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
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)4.34%
PT rev (3m)34.2%
EPS NQ rev (1m)0.13%
EPS NQ rev (3m)2.9%
EPS NY rev (1m)0.04%
EPS NY rev (3m)6.4%
Revenue NQ rev (1m)0.03%
Revenue NQ rev (3m)2.21%
Revenue NY rev (1m)0.01%
Revenue NY rev (3m)0.98%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 33.48 | ||
| Fwd PE | 28.62 | ||
| P/S | 10.3 | ||
| P/FCF | 54 | ||
| P/OCF | 26.23 | ||
| P/B | 10.27 | ||
| P/tB | 11.23 | ||
| EV/EBITDA | 25.93 |
EPS(TTM)9.83
EY2.99%
EPS(NY)11.5
Fwd EY3.49%
FCF(TTM)6.1
FCFY1.85%
OCF(TTM)12.55
OCFY3.81%
SpS31.94
BVpS32.06
TBVpS29.3
PEG (NY)0.95
PEG (5Y)1.33
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 | 18.22 |
F-Score6
WACC8.81%
ROIC/WACC2.83
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 Y35.39%
EPS Next 2Y19.53%
EPS Next 3Y18.08%
EPS Next 5Y17.13%
Revenue 1Y (TTM)13.42%
Revenue growth 3Y10.75%
Revenue growth 5Y16.68%
Sales Q2Q%15.95%
Revenue Next Year13.9%
Revenue Next 2Y13.65%
Revenue Next 3Y13.17%
Revenue Next 5Y12.49%
EBIT growth 1Y16.37%
EBIT growth 3Y13.22%
EBIT growth 5Y26.03%
EBIT Next Year59.97%
EBIT Next 3Y31.67%
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
Can you provide the ChartMill fundamental rating for ALPHABET INC-CL C?
ChartMill assigns a fundamental rating of 7 / 10 to GOOG.
Can you provide the valuation status for ALPHABET INC-CL C?
ChartMill assigns a valuation rating of 3 / 10 to ALPHABET INC-CL C (GOOG). This can be considered as Overvalued.
How profitable is ALPHABET INC-CL C (GOOG) stock?
ALPHABET INC-CL C (GOOG) has a profitability rating of 9 / 10.
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.
Can you provide the dividend sustainability for GOOG stock?
The dividend rating of ALPHABET INC-CL C (GOOG) is 3 / 10 and the dividend payout ratio is 8.01%.