AMZN vs. GOOGL: A Head-to-Head Stock Comparison
Updated onHere’s a clear look at AMZN and GOOGL, comparing key factors like historical performance, profitability, financial strength, growth, dividend, and valuation.
Company Overview
AMZN’s market capitalization stands at 2,371.81 billion USD, while GOOGL’s is 2,183.62 billion USD, indicating their market valuations are broadly comparable.
With betas of 1.33 for AMZN and 1.01 for GOOGL, both stocks show similar sensitivity to overall market movements.
| Symbol | AMZN | GOOGL |
|---|---|---|
| Company Name | Amazon.com, Inc. | Alphabet Inc. |
| Country | US | US |
| Sector | Consumer Cyclical | Communication Services |
| Industry | Specialty Retail | Internet Content & Information |
| CEO | Andrew R. Jassy | Sundar Pichai |
| Price | 223.41 USD | 179.53 USD |
| Market Cap | 2,371.81 billion USD | 2,183.62 billion USD |
| Beta | 1.33 | 1.01 |
| Exchange | NASDAQ | NASDAQ |
| IPO Date | May 15, 1997 | August 19, 2004 |
| ADR | No | No |
Historical Performance
This chart compares the performance of AMZN and GOOGL by tracking the growth of an initial $10,000 investment in each. Use the tabs to select the desired time period.
Data is adjusted for dividends and splits.
Profitability
Return on Equity
AMZN
24.26%
Specialty Retail Industry
- Max
- 70.52%
- Q3
- 29.03%
- Median
- 10.90%
- Q1
- -7.86%
- Min
- -57.43%
AMZN’s Return on Equity of 24.26% is on par with the norm for the Specialty Retail industry, indicating its profitability relative to shareholder equity is typical for the sector.
GOOGL
34.55%
Internet Content & Information Industry
- Max
- 42.68%
- Q3
- 9.10%
- Median
- 3.28%
- Q1
- -14.17%
- Min
- -26.11%
In the upper quartile for the Internet Content & Information industry, GOOGL’s Return on Equity of 34.55% signals a highly effective use of shareholder capital to drive profitability compared to most of its peers.
Return on Invested Capital
AMZN
13.10%
Specialty Retail Industry
- Max
- 29.46%
- Q3
- 13.75%
- Median
- 8.05%
- Q1
- 0.80%
- Min
- -17.95%
AMZN’s Return on Invested Capital of 13.10% is in line with the norm for the Specialty Retail industry, reflecting a standard level of efficiency in generating profits from its capital base.
GOOGL
25.44%
Internet Content & Information Industry
- Max
- 31.34%
- Q3
- 14.95%
- Median
- 3.03%
- Q1
- -6.25%
- Min
- -25.52%
In the upper quartile for the Internet Content & Information industry, GOOGL’s Return on Invested Capital of 25.44% signifies a highly effective use of its capital to generate profits when compared to its peers.
Net Profit Margin
AMZN
10.14%
Specialty Retail Industry
- Max
- 19.78%
- Q3
- 8.49%
- Median
- 3.43%
- Q1
- -0.69%
- Min
- -9.88%
A Net Profit Margin of 10.14% places AMZN in the upper quartile for the Specialty Retail industry, signifying strong profitability and more effective cost management than most of its peers.
GOOGL
30.86%
Internet Content & Information Industry
- Max
- 39.11%
- Q3
- 15.31%
- Median
- 4.00%
- Q1
- -6.97%
- Min
- -36.95%
A Net Profit Margin of 30.86% places GOOGL in the upper quartile for the Internet Content & Information industry, signifying strong profitability and more effective cost management than most of its peers.
Operating Profit Margin
AMZN
11.02%
Specialty Retail Industry
- Max
- 24.47%
- Q3
- 11.10%
- Median
- 5.85%
- Q1
- 0.66%
- Min
- -12.62%
AMZN’s Operating Profit Margin of 11.02% is around the midpoint for the Specialty Retail industry, indicating that its efficiency in managing core business operations is typical for the sector.
GOOGL
32.67%
Internet Content & Information Industry
- Max
- 42.92%
- Q3
- 15.51%
- Median
- 2.63%
- Q1
- -6.98%
- Min
- -18.41%
An Operating Profit Margin of 32.67% places GOOGL in the upper quartile for the Internet Content & Information industry. This signals a strong ability to translate revenue into operating profit, outperforming most of its competitors in core business efficiency.
Profitability at a Glance
| Symbol | AMZN | GOOGL |
|---|---|---|
| Return on Equity (TTM) | 24.26% | 34.55% |
| Return on Assets (TTM) | 10.25% | 23.35% |
| Return on Invested Capital (TTM) | 13.10% | 25.44% |
| Net Profit Margin (TTM) | 10.14% | 30.86% |
| Operating Profit Margin (TTM) | 11.02% | 32.67% |
| Gross Profit Margin (TTM) | 49.16% | 58.59% |
Financial Strength
Current Ratio
AMZN
1.05
Specialty Retail Industry
- Max
- 3.24
- Q3
- 1.99
- Median
- 1.42
- Q1
- 1.02
- Min
- 0.54
AMZN’s Current Ratio of 1.05 aligns with the median group of the Specialty Retail industry, indicating that its short-term liquidity is in line with its sector peers.
GOOGL
1.77
Internet Content & Information Industry
- Max
- 7.37
- Q3
- 3.97
- Median
- 2.42
- Q1
- 1.67
- Min
- 0.33
GOOGL’s Current Ratio of 1.77 aligns with the median group of the Internet Content & Information industry, indicating that its short-term liquidity is in line with its sector peers.
Debt-to-Equity Ratio
AMZN
0.44
Specialty Retail Industry
- Max
- 2.72
- Q3
- 1.42
- Median
- 0.87
- Q1
- 0.35
- Min
- 0.01
AMZN’s Debt-to-Equity Ratio of 0.44 is typical for the Specialty Retail industry, indicating its use of leverage is in line with the sector norm. This suggests a balanced approach to its capital structure.
GOOGL
0.07
Internet Content & Information Industry
- Max
- 0.55
- Q3
- 0.49
- Median
- 0.14
- Q1
- 0.03
- Min
- 0.00
GOOGL’s Debt-to-Equity Ratio of 0.07 is typical for the Internet Content & Information industry, indicating its use of leverage is in line with the sector norm. This suggests a balanced approach to its capital structure.
Interest Coverage Ratio
AMZN
31.13
Specialty Retail Industry
- Max
- 37.34
- Q3
- 17.19
- Median
- 4.28
- Q1
- 0.11
- Min
- -23.60
AMZN’s Interest Coverage Ratio of 31.13 is in the upper quartile for the Specialty Retail industry, signifying a strong and healthy capacity to meet its interest payments from operating profits.
GOOGL
565.02
Internet Content & Information Industry
- Max
- 26.56
- Q3
- 12.92
- Median
- 3.11
- Q1
- -5.03
- Min
- -16.11
With an Interest Coverage Ratio of 565.02, GOOGL demonstrates a superior capacity to service its debt, placing it well above the typical range for the Internet Content & Information industry. This stems from either robust earnings or a conservative debt load.
Financial Strength at a Glance
| Symbol | AMZN | GOOGL |
|---|---|---|
| Current Ratio (TTM) | 1.05 | 1.77 |
| Quick Ratio (TTM) | 0.84 | 1.77 |
| Debt-to-Equity Ratio (TTM) | 0.44 | 0.07 |
| Debt-to-Asset Ratio (TTM) | 0.21 | 0.05 |
| Net Debt-to-EBITDA Ratio (TTM) | 0.50 | 0.00 |
| Interest Coverage Ratio (TTM) | 31.13 | 565.02 |
Growth
The following charts compare key year-over-year (YoY) growth metrics for AMZN and GOOGL. These metrics are based on the companies’ annual financial reports.
Revenue Growth
Earnings Per Share (EPS) Growth
Free Cash Flow Growth
Dividend
Dividend Yield
AMZN
0.00%
Specialty Retail Industry
- Max
- 5.54%
- Q3
- 1.52%
- Median
- 0.00%
- Q1
- 0.00%
- Min
- 0.00%
AMZN currently does not pay a dividend, resulting in a yield of 0%. This is a common strategy for growth-focused companies that prioritize reinvesting earnings, though it may be less typical in mature, income-oriented sectors.
GOOGL
0.45%
Internet Content & Information Industry
- Max
- 8.40%
- Q3
- 0.00%
- Median
- 0.00%
- Q1
- 0.00%
- Min
- 0.00%
With a Dividend Yield of 0.45%, GOOGL offers a more attractive income stream than most of its peers in the Internet Content & Information industry, signaling a strong commitment to shareholder returns.
Dividend Payout Ratio
AMZN
0.00%
Specialty Retail Industry
- Max
- 177.64%
- Q3
- 9.49%
- Median
- 0.00%
- Q1
- 0.00%
- Min
- 0.00%
AMZN has a Dividend Payout Ratio of 0%, indicating it does not currently pay a dividend. This is a common strategy for growth-oriented companies that reinvest all profits back into the business.
GOOGL
8.83%
Internet Content & Information Industry
- Max
- 112.27%
- Q3
- 0.00%
- Median
- 0.00%
- Q1
- 0.00%
- Min
- 0.00%
GOOGL’s Dividend Payout Ratio of 8.83% is in the upper quartile for the Internet Content & Information industry. This indicates a strong commitment to shareholder returns but also suggests that a smaller portion of earnings is retained for reinvestment compared to many peers.
Dividend at a Glance
| Symbol | AMZN | GOOGL |
|---|---|---|
| Dividend Yield (TTM) | 0.00% | 0.45% |
| Dividend Payout Ratio (TTM) | 0.00% | 8.83% |
Valuation
Price-to-Earnings Ratio
AMZN
35.92
Specialty Retail Industry
- Max
- 81.45
- Q3
- 42.51
- Median
- 25.40
- Q1
- 12.72
- Min
- 1.88
AMZN’s P/E Ratio of 35.92 is within the middle range for the Specialty Retail industry. This suggests its valuation is in line with the sector average, representing neither a significant premium nor a discount compared to its peers.
GOOGL
19.71
Internet Content & Information Industry
- Max
- 56.51
- Q3
- 39.89
- Median
- 18.31
- Q1
- 10.09
- Min
- 0.08
GOOGL’s P/E Ratio of 19.71 is within the middle range for the Internet Content & Information industry. This suggests its valuation is in line with the sector average, representing neither a significant premium nor a discount compared to its peers.
Forward P/E to Growth Ratio
AMZN
1.72
Specialty Retail Industry
- Max
- 5.90
- Q3
- 2.79
- Median
- 1.76
- Q1
- 0.69
- Min
- 0.00
AMZN’s Forward PEG Ratio of 1.72 is within the middle range of its peers in the Specialty Retail industry. This suggests a reasonable balance between the stock’s price and its expected growth, aligning with sector valuation norms.
GOOGL
1.37
Internet Content & Information Industry
- Max
- 4.26
- Q3
- 2.09
- Median
- 0.83
- Q1
- 0.47
- Min
- 0.01
GOOGL’s Forward PEG Ratio of 1.37 is within the middle range of its peers in the Internet Content & Information industry. This suggests a reasonable balance between the stock’s price and its expected growth, aligning with sector valuation norms.
Price-to-Sales Ratio
AMZN
3.65
Specialty Retail Industry
- Max
- 5.26
- Q3
- 2.60
- Median
- 1.29
- Q1
- 0.41
- Min
- 0.06
AMZN’s P/S Ratio of 3.65 is in the upper echelon for the Specialty Retail industry. This means the company is valued richly on its revenue stream compared to its peers, suggesting the stock is priced for a high level of future performance.
GOOGL
6.07
Internet Content & Information Industry
- Max
- 10.83
- Q3
- 6.47
- Median
- 2.35
- Q1
- 0.97
- Min
- 0.66
GOOGL’s P/S Ratio of 6.07 aligns with the market consensus for the Internet Content & Information industry. This suggests its valuation, based on sales, is seen as standard and is on par with its competitors.
Price-to-Book Ratio
AMZN
7.74
Specialty Retail Industry
- Max
- 12.73
- Q3
- 6.96
- Median
- 3.28
- Q1
- 1.42
- Min
- 0.24
AMZN’s P/B Ratio of 7.74 is in the upper tier for the Specialty Retail industry. This indicates that investors are paying a premium relative to the company’s net assets, a valuation that hinges on its ability to generate superior profits.
GOOGL
6.33
Internet Content & Information Industry
- Max
- 12.17
- Q3
- 6.35
- Median
- 2.86
- Q1
- 0.91
- Min
- 0.02
The P/B Ratio is often not a primary valuation metric for the Internet Content & Information industry.
Valuation at a Glance
| Symbol | AMZN | GOOGL |
|---|---|---|
| Price-to-Earnings Ratio (P/E, TTM) | 35.92 | 19.71 |
| Forward PEG Ratio (TTM) | 1.72 | 1.37 |
| Price-to-Sales Ratio (P/S, TTM) | 3.65 | 6.07 |
| Price-to-Book Ratio (P/B, TTM) | 7.74 | 6.33 |
| Price-to-Free Cash Flow Ratio (P/FCF, TTM) | 113.97 | 29.16 |
| EV-to-EBITDA (TTM) | 18.07 | 14.57 |
| EV-to-Sales (TTM) | 3.75 | 6.07 |