GOOGL vs. NVDA: A Head-to-Head Stock Comparison
Updated onHere’s a clear look at GOOGL and NVDA, comparing key factors like historical performance, profitability, financial strength, growth, dividend, and valuation.
Company Overview
NVDA’s market capitalization of 4,206.80 billion USD is significantly greater than GOOGL’s 2,250.88 billion USD, highlighting its more substantial market valuation.
NVDA carries a higher beta at 2.12, indicating it’s more sensitive to market moves, while GOOGL (beta: 1.01) exhibits greater stability.
| Symbol | GOOGL | NVDA |
|---|---|---|
| Company Name | Alphabet Inc. | NVIDIA Corporation |
| Country | US | US |
| Sector | Communication Services | Technology |
| Industry | Internet Content & Information | Semiconductors |
| CEO | Sundar Pichai | Jen-Hsun Huang |
| Price | 185.06 USD | 172.41 USD |
| Market Cap | 2,250.88 billion USD | 4,206.80 billion USD |
| Beta | 1.01 | 2.12 |
| Exchange | NASDAQ | NASDAQ |
| IPO Date | August 19, 2004 | January 22, 1999 |
| ADR | No | No |
Historical Performance
This chart compares the performance of GOOGL and NVDA 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
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.
NVDA
106.92%
Semiconductors Industry
- Max
- 41.84%
- Q3
- 15.81%
- Median
- 6.31%
- Q1
- -5.54%
- Min
- -30.12%
NVDA’s Return on Equity of 106.92% is exceptionally high, placing it well beyond the typical range for the Semiconductors industry. This demonstrates a superior ability to generate profit from shareholder investments, though it could also be inflated by high financial leverage.
Return on Invested Capital
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.
NVDA
75.38%
Semiconductors Industry
- Max
- 30.91%
- Q3
- 11.34%
- Median
- 4.08%
- Q1
- -2.17%
- Min
- -19.59%
NVDA’s Return on Invested Capital of 75.38% is exceptionally high, placing it well beyond the typical range for the Semiconductors industry. This demonstrates an outstanding ability to deploy capital efficiently and create significant value.
Net Profit Margin
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.
NVDA
51.69%
Semiconductors Industry
- Max
- 51.69%
- Q3
- 19.67%
- Median
- 8.56%
- Q1
- -5.44%
- Min
- -38.60%
A Net Profit Margin of 51.69% places NVDA in the upper quartile for the Semiconductors industry, signifying strong profitability and more effective cost management than most of its peers.
Operating Profit Margin
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.
NVDA
58.03%
Semiconductors Industry
- Max
- 58.03%
- Q3
- 22.12%
- Median
- 8.40%
- Q1
- -3.73%
- Min
- -36.14%
An Operating Profit Margin of 58.03% places NVDA in the upper quartile for the Semiconductors 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 | GOOGL | NVDA |
|---|---|---|
| Return on Equity (TTM) | 34.55% | 106.92% |
| Return on Assets (TTM) | 23.35% | 61.29% |
| Return on Invested Capital (TTM) | 25.44% | 75.38% |
| Net Profit Margin (TTM) | 30.86% | 51.69% |
| Operating Profit Margin (TTM) | 32.67% | 58.03% |
| Gross Profit Margin (TTM) | 58.59% | 70.11% |
Financial Strength
Current Ratio
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.
NVDA
3.39
Semiconductors Industry
- Max
- 9.10
- Q3
- 5.23
- Median
- 3.09
- Q1
- 2.49
- Min
- 1.02
NVDA’s Current Ratio of 3.39 aligns with the median group of the Semiconductors industry, indicating that its short-term liquidity is in line with its sector peers.
Debt-to-Equity Ratio
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.
NVDA
0.12
Semiconductors Industry
- Max
- 0.97
- Q3
- 0.46
- Median
- 0.21
- Q1
- 0.05
- Min
- 0.00
NVDA’s Debt-to-Equity Ratio of 0.12 is typical for the Semiconductors 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
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.
NVDA
350.34
Semiconductors Industry
- Max
- 36.25
- Q3
- 29.12
- Median
- 7.01
- Q1
- -1.22
- Min
- -18.18
With an Interest Coverage Ratio of 350.34, NVDA demonstrates a superior capacity to service its debt, placing it well above the typical range for the Semiconductors industry. This stems from either robust earnings or a conservative debt load.
Financial Strength at a Glance
| Symbol | GOOGL | NVDA |
|---|---|---|
| Current Ratio (TTM) | 1.77 | 3.39 |
| Quick Ratio (TTM) | 1.77 | 2.96 |
| Debt-to-Equity Ratio (TTM) | 0.07 | 0.12 |
| Debt-to-Asset Ratio (TTM) | 0.05 | 0.08 |
| Net Debt-to-EBITDA Ratio (TTM) | 0.00 | -0.05 |
| Interest Coverage Ratio (TTM) | 565.02 | 350.34 |
Growth
The following charts compare key year-over-year (YoY) growth metrics for GOOGL and NVDA. These metrics are based on the companies’ annual financial reports.
Revenue Growth
Earnings Per Share (EPS) Growth
Free Cash Flow Growth
Dividend
Dividend Yield
GOOGL
0.55%
Internet Content & Information Industry
- Max
- 8.40%
- Q3
- 0.00%
- Median
- 0.00%
- Q1
- 0.00%
- Min
- 0.00%
With a Dividend Yield of 0.55%, 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.
NVDA
0.03%
Semiconductors Industry
- Max
- 6.48%
- Q3
- 0.93%
- Median
- 0.00%
- Q1
- 0.00%
- Min
- 0.00%
NVDA’s Dividend Yield of 0.03% is consistent with its peers in the Semiconductors industry, providing a dividend return that is standard for its sector.
Dividend Payout Ratio
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.
NVDA
1.28%
Semiconductors Industry
- Max
- 204.29%
- Q3
- 31.85%
- Median
- 0.00%
- Q1
- 0.00%
- Min
- 0.00%
NVDA’s Dividend Payout Ratio of 1.28% is within the typical range for the Semiconductors industry, suggesting a balanced approach between shareholder payouts and company reinvestment.
Dividend at a Glance
| Symbol | GOOGL | NVDA |
|---|---|---|
| Dividend Yield (TTM) | 0.55% | 0.03% |
| Dividend Payout Ratio (TTM) | 8.83% | 1.28% |
Valuation
Price-to-Earnings Ratio
GOOGL
20.31
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 20.31 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.
NVDA
54.89
Semiconductors Industry
- Max
- 86.15
- Q3
- 47.38
- Median
- 27.87
- Q1
- 18.89
- Min
- 4.73
A P/E Ratio of 54.89 places NVDA in the upper quartile for the Semiconductors industry. This high valuation relative to peers suggests the market holds elevated expectations for the company’s future growth.
Forward P/E to Growth Ratio
GOOGL
1.42
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 1.42 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.
NVDA
3.81
Semiconductors Industry
- Max
- 4.73
- Q3
- 2.80
- Median
- 1.11
- Q1
- 0.68
- Min
- 0.01
The Forward PEG Ratio is often not a primary valuation metric in the Semiconductors industry.
Price-to-Sales Ratio
GOOGL
6.26
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 6.26 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.
NVDA
28.33
Semiconductors Industry
- Max
- 21.96
- Q3
- 10.21
- Median
- 4.45
- Q1
- 2.32
- Min
- 0.48
With a P/S Ratio of 28.33, NVDA trades at a valuation that eclipses even the highest in the Semiconductors industry. This implies the market has priced in exceptionally optimistic scenarios for future revenue growth, posing considerable valuation risk.
Price-to-Book Ratio
GOOGL
6.53
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.
NVDA
50.26
Semiconductors Industry
- Max
- 13.12
- Q3
- 6.49
- Median
- 3.31
- Q1
- 1.74
- Min
- 0.23
At 50.26, NVDA’s P/B Ratio is at an extreme premium to the Semiconductors industry. This signifies that the market’s valuation is heavily reliant on future potential rather than its current net asset value, which can be a high-risk proposition.
Valuation at a Glance
| Symbol | GOOGL | NVDA |
|---|---|---|
| Price-to-Earnings Ratio (P/E, TTM) | 20.31 | 54.89 |
| Forward PEG Ratio (TTM) | 1.42 | 3.81 |
| Price-to-Sales Ratio (P/S, TTM) | 6.26 | 28.33 |
| Price-to-Book Ratio (P/B, TTM) | 6.53 | 50.26 |
| Price-to-Free Cash Flow Ratio (P/FCF, TTM) | 30.06 | 58.38 |
| EV-to-EBITDA (TTM) | 15.02 | 46.19 |
| EV-to-Sales (TTM) | 6.26 | 28.29 |