Seek Returns

Alphabet (GOOGL) Stock Analysis

This is a peer-relative look at Alphabet (GOOGL): its performance, risk, profitability, growth, financial strength, dividend, and valuation are each measured against its Media & Entertainment peers, so every number reads in context rather than in isolation.

Company Profile

Company profile fields for Alphabet (GOOGL)
Profile ItemGOOGL
NameAlphabet Inc.
Country/RegionUnited States
GICS SectorCommunication Services
GICS Industry GroupMedia & Entertainment
GICS IndustryInteractive Media & Services
GICS Sub-IndustryInteractive Media & Services
Market Capitalization4,236.12 billion USD
CurrencyUSD
ExchangeNasdaq
Listing DateAugust 19, 2004
Security TypeCommon Stock

Price Performance

Cumulative Growth

GOOGL
GSPC
Loading price history…
Alphabet (GOOGL) vs. S&P 500 (GSPC): Growth of a $10,000 investment over the past five years. Adjusted for dividends and splits.

Trailing Returns

Loading price history…
Trailing total returns for Alphabet (GOOGL) and S&P 500 (GSPC). Returns over one year are annualized.

Calendar-Year Returns

Loading price history…
Calendar-year total returns for Alphabet (GOOGL) and S&P 500 (GSPC). Each bar is that year's total return, measured year-end to year-end.

Performance Metrics

Alphabet (GOOGL) metric values compared with Media & Entertainment industry-group medians
MetricCurrent stock: GOOGLIndustry group median
Total Return (1Y)83.14%0.58%
Total Return (3Y, Annualized)42.90%5.69%
Total Return (5Y, Annualized)22.39%-8.38%

Risk Profile

Drawdown History

GOOGL
GSPC
Loading price history…
Alphabet (GOOGL) vs. S&P 500 (GSPC): Drawdown from the running peak over the past five years. Each line shows the decline from its prior peak; 0% marks a new high.

Return Distribution

Loading price history…
Distribution of monthly total returns for Alphabet (GOOGL) and S&P 500 (GSPC). Each bar is the share of months whose return fell in that 5% bucket.

Risk Metrics

Alphabet (GOOGL) metric values compared with Media & Entertainment industry-group medians
MetricCurrent stock: GOOGLIndustry group median
Volatility (1Y, Annualized)30.50%46.53%
Beta (5Y)1.240.96
Max Drawdown (5Y)-44.32%-75.28%

Risk-Adjusted Performance

Risk-Return Positioning

Loading chart…
Each dot is a stock plotted by 1-year volatility (risk) and 1-year return. GOOGL is highlighted; the dashed line is the Capital Allocation Line from the risk-free rate through the industry median — dots above it are stronger on a risk-adjusted basis.

Risk-Adjusted Metrics

Alphabet (GOOGL) metric values compared with Media & Entertainment industry-group medians
MetricCurrent stock: GOOGLIndustry group median
Sharpe Ratio (1Y)2.59-0.07
Sortino Ratio (1Y)4.68-0.09

Profitability

ROE (TTM)

Alphabet (GOOGL) posts ROE of 38.89%, in the upper peer quartile. That suggests the company earns more from each dollar of shareholders’ equity than most industry peers, a useful capital-efficiency signal.

GOOGL

Media & Entertainment industry group

38.89%

Group distribution
GOOGL
38.89%
Max
38.89%
Q3
16.35%
Median
6.52%
Q1
-3.39%
Min
-29.59%
Largest peers
NFLX
49.54%
GOOGL
38.89%
SPOT
37.99%
META
32.93%
NTES
22.13%
CMCSA
20.92%
DIS
11.01%
Loading chart…
Where Alphabet (GOOGL) stands on ROE within its Media & Entertainment peer group — the box is the group’s distribution and the dots its largest members.

Net Margin (TTM)

Alphabet (GOOGL) keeps 37.92% of revenue as net profit on net margin, above the industry benchmark range. That is unusually strong bottom-line conversion, though tax effects, asset sales, or other one-off gains should be checked before treating it as durable.

GOOGL

Media & Entertainment industry group

37.92%

Group distribution
GOOGL
37.92%
Max
30.77%
Q3
11.05%
Median
3.73%
Q1
-3.12%
Min
-24.17%
Largest peers
GOOGL
37.92%
META
32.84%
NTES
29.84%
NFLX
28.22%
SPOT
15.45%
CMCSA
15.00%
DIS
11.54%
Loading chart…
Where Alphabet (GOOGL) stands on net margin within its Media & Entertainment peer group — the box is the group’s distribution and the dots its largest members.

Operating Margin (TTM)

Alphabet (GOOGL) turns 36.12% of revenue into operating profit, putting operating margin in the upper peer quartile. Before financing and taxes enter the picture, the day-to-day business keeps more of each sales dollar than most industry peers.

GOOGL

Media & Entertainment industry group

36.12%

Group distribution
Max
41.37%
GOOGL
36.12%
Q3
15.96%
Median
7.22%
Q1
-3.48%
Min
-27.39%
Largest peers
NTES
41.37%
META
40.62%
GOOGL
36.12%
NFLX
33.38%
SPOT
15.77%
DIS
15.51%
CMCSA
13.15%
Loading chart…
Where Alphabet (GOOGL) stands on operating margin within its Media & Entertainment peer group — the box is the group’s distribution and the dots its largest members.

Profitability Metrics

Alphabet (GOOGL) metric values compared with Media & Entertainment industry-group medians
MetricCurrent stock: GOOGLIndustry group median
ROE (TTM)38.89%6.52%
ROA (TTM)14.64%2.70%
Net Margin (TTM)37.92%3.73%
Operating Margin (TTM)36.12%7.22%
Gross Margin (TTM)60.37%50.70%

Growth

Revenue Growth

Alphabet (GOOGL) grew revenue 15.09%, in the upper peer quartile. The top line is expanding faster than at most industry peers, which points to share gains or stronger pricing.

Loading chart…
Alphabet (GOOGL): Revenue Growth across different time periods, set against Media & Entertainment industry-group medians.

EPS Growth

Alphabet (GOOGL) grew earnings per share 34.45%, roughly around the peer group's normal range. Bottom-line momentum looks broadly typical for the industry.

Loading chart…
Alphabet (GOOGL): EPS Growth across different time periods, set against Media & Entertainment industry-group medians.

Growth Metrics

Alphabet (GOOGL) metric values compared with Media & Entertainment industry-group medians
MetricCurrent stock: GOOGLIndustry group median
Revenue Growth (YoY)15.09%3.45%
Revenue Growth (3Y CAGR)12.51%5.10%
EPS Growth (YoY)34.45%1.00%
EPS Growth (3Y CAGR)33.34%25.39%

Financial Strength

Current Ratio (MRQ)

Alphabet (GOOGL) has current ratio of 1.92, in the healthier middle range for its industry. The short-term asset cushion looks balanced relative to peers rather than stretched thin.

GOOGL

Media & Entertainment industry group

1.92

Group distribution
Max
4.37
Q3
2.40
GOOGL
1.92
Median
1.44
Q1
1.02
Min
0.31
Largest peers
NTES
3.29
META
2.35
SPOT
2.06
GOOGL
1.92
NFLX
1.14
CMCSA
0.87
DIS
0.68
Loading chart…
Where Alphabet (GOOGL) stands on current ratio within its Media & Entertainment peer group — the box is the group’s distribution and the dots its largest members.

Debt / Equity (MRQ)

Alphabet (GOOGL) has debt-to-equity ratio of 0.20, roughly in line with the peer group’s normal leverage range. Its mix of debt and equity looks typical for the industry.

GOOGL

Media & Entertainment industry group

0.20

Group distribution
Max
2.46
Q3
1.10
Median
0.47
GOOGL
0.20
Q1
0.13
Min
0.00
Largest peers
CMCSA
1.07
NFLX
0.55
DIS
0.41
META
0.36
GOOGL
0.20
NTES
0.06
SPOT
0.06
Loading chart…
Where Alphabet (GOOGL) stands on debt-to-equity ratio within its Media & Entertainment peer group — the box is the group’s distribution and the dots its largest members.

Financial Strength Metrics

Alphabet (GOOGL) metric values compared with Media & Entertainment industry-group medians
MetricCurrent stock: GOOGLIndustry group median
Current Ratio (MRQ)1.921.44
Debt / Equity (MRQ)0.200.47
Net Debt / EBITDA-0.191.23

Dividends

Dividend Yield (TTM)

Alphabet (GOOGL) has dividend yield of 0.24%, in the industry’s normal income range. It provides a meaningful dividend without the red flag of an unusually high headline yield.

GOOGL

Media & Entertainment industry group

0.24%

Group distribution
Max
1.97%
Q3
0.88%
GOOGL
0.24%
Median
0.00%
Q1
0.00%
Min
0.00%
Largest peers
CMCSA
5.55%
NTES
3.11%
DIS
1.56%
META
0.33%
GOOGL
0.24%
NFLX
0.00%
SPOT
0.00%
Loading chart…
Where Alphabet (GOOGL) stands on dividend yield within its Media & Entertainment peer group — the box is the group’s distribution and the dots its largest members.

Dividend Payout Ratio (TTM)

Alphabet (GOOGL) has payout ratio of 6.41%, within the industry’s typical payout band. The dividend shares profits with investors while leaving earnings coverage that looks normal for the peer group.

GOOGL

Media & Entertainment industry group

6.41%

Group distribution
Max
41.30%
Q3
17.37%
GOOGL
6.41%
Median
0.00%
Q1
0.00%
Min
0.00%
Largest peers
NTES
39.66%
CMCSA
25.88%
DIS
20.00%
META
7.64%
GOOGL
6.41%
NFLX
0.00%
SPOT
0.00%
Loading chart…
Where Alphabet (GOOGL) stands on payout ratio within its Media & Entertainment peer group — the box is the group’s distribution and the dots its largest members.

Dividend Metrics

Alphabet (GOOGL) metric values compared with Media & Entertainment industry-group medians
MetricCurrent stock: GOOGLIndustry group median
Dividend Yield (TTM)0.24%0.00%
Dividend Payout Ratio (TTM)6.41%0.00%

Valuation

P/E Ratio (TTM)

Alphabet (GOOGL) trades at P/E ratio of 26.89, near the industry’s usual earnings multiple. The stock is not showing a clear peer discount or premium on trailing earnings.

GOOGL

Media & Entertainment industry group

26.89

Group distribution
Max
78.62
Q3
41.37
GOOGL
26.89
Median
23.47
Q1
12.58
Min
1.74
Largest peers
SPOT
33.55
GOOGL
26.89
META
23.47
NFLX
21.26
NTES
17.27
DIS
15.43
CMCSA
4.66
Loading chart…
Where Alphabet (GOOGL) stands on P/E ratio within its Media & Entertainment peer group — the box is the group’s distribution and the dots its largest members.

P/S Ratio (TTM)

Alphabet (GOOGL) trades at 10.03 on P/S ratio, above the industry benchmark range. The stock is being valued at an unusually rich price per dollar of trailing revenue.

GOOGL

Media & Entertainment industry group

10.03

Group distribution
GOOGL
10.03
Max
7.60
Q3
3.84
Median
1.52
Q1
0.68
Min
0.00
Largest peers
GOOGL
10.03
META
7.60
NFLX
5.91
SPOT
5.79
DIS
1.72
NTES
0.73
CMCSA
0.68
Loading chart…
Where Alphabet (GOOGL) stands on P/S ratio within its Media & Entertainment peer group — the box is the group’s distribution and the dots its largest members.

P/B Ratio (MRQ)

Alphabet (GOOGL) trades at 8.79 on P/B ratio, in the higher book-value quartile. The market is paying a premium to book, so stronger ROE, cleaner assets, or a better growth profile need to justify it.

GOOGL

Media & Entertainment industry group

8.79

Group distribution
Max
13.29
GOOGL
8.79
Q3
5.93
Median
2.00
Q1
0.76
Min
-3.80
Largest peers
NTES
17.04
SPOT
11.12
NFLX
9.48
GOOGL
8.79
META
6.71
DIS
1.54
CMCSA
0.96
Loading chart…
Where Alphabet (GOOGL) stands on P/B ratio within its Media & Entertainment peer group — the box is the group’s distribution and the dots its largest members.

Valuation Metrics

Alphabet (GOOGL) metric values compared with Media & Entertainment industry-group medians
MetricCurrent stock: GOOGLIndustry group median
P/E Ratio (TTM)26.8923.47
P/S Ratio (TTM)10.031.52
P/B Ratio (MRQ)8.792.00
Free Cash Flow Yield (TTM)0.66%6.79%