Company Analysis
Alphabet Inc
GOOGL • Media
AI Summary
Alphabet Inc. presents a compelling growth opportunity with its diversified revenue streams across Google Services, Cloud, and innovative Other Bets, supported by an impressive 48.5% EPS growth. Trading at approximately 53% below its estimated fair value of $373.95, the stock offers significant upside potential for growth-oriented investors. Its strong return on equity of 39% underscores its efficient capital allocation and competitive positioning in the technology sector.
GoodStock Company Score
Score Breakdown
GoodStock Estimated Valuation
Valuation Range vs. Current Price
GoodStock Price Momentum
Momentum Indicators
Alphabet Inc
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GoodStockClassification
| Theme | Quality | Momentum | Value |
|---|---|---|---|
| Best in Class | + | + | + |
| Quality at a Price | + | + | - |
| Contrarian | + | - | + |
| Yesterday's News | + | - | - |
| Restructuring | - | + | + |
| Momentum Trap | - | + | - |
| Value Trap | - | - | + |
| Worst in Class | - | - | - |
These investments represent top-performing assets in their respective sectors, demonstrating consistent growth, strong management, and a competitive edge. Investors choose them for stability and reliability, expecting continued outperformance compared to peers.
Earnings History
Last missActual EPS compared with analyst estimates.
| Fiscal Quarter | Actual | Estimate | Surprise |
|---|---|---|---|
|
Q1 2026
Mar 31, 2026
|
$2.62 | $2.71 | -3.1% |
|
Q4 2025
Dec 31, 2025
|
$2.82 | $2.71 | +4.2% |
|
Q3 2025
Sep 30, 2025
|
$3.10 | $2.40 | +29.4% |
|
Q2 2025
Jul 23, 2025
|
$5.12 | $2.25 | N/A |
|
Q2 2025
Jun 30, 2025
|
$2.31 | $2.25 | +2.7% |
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Financial Ratios
AI Financial Ratios Summary
The company exhibits a robust Earnings Per Share (EPS) of 13.11 and a healthy Price/Earnings (P/E) ratio of 26.35, indicating strong profitability expectations valued by the market. Its outstanding Return on Equity (ROE) of nearly 39% reflects efficient management and high profitability relative to shareholder equity, while the low Debt-to-Equity ratio of 0.12 and high Interest Coverage Ratio of 16.2 demonstrate prudent financial leverage and strong debt-servicing capacity. Collectively, these ratios suggest a financially sound company with efficient operations and manageable debt, positioning it favorably for growth; however, the relatively high P/E ratio may imply market expectations are already priced in, and the company's future stock potential would benefit from sustained performance and growth catalysts.
- $13.1
- 26.35
- 38.98%
- 0.12%
- 16.2
- $2.07 M
- 2.01%
- $4220 B
Operational Ratios
AI Operational Ratios Summary
The company's robust operating margin of 32.69% and gross margin of 60.37% demonstrate strong efficiency in managing core operations and controlling costs, which positively impacts profitability. A high net profit margin of 37.92% further indicates effective expense management and earning potential, while a solid return on assets of 27.41% reflects efficient asset utilization. Additionally, the healthy free cash flow CAGR of 11.33% and significant capital expenditures growth suggest the company is well-positioned for sustained growth and value creation, supporting future profitability and expansion opportunities.
- 32.69%
- 60.37%
- 37.92%
- 27.41%
- $0.84
- 0.24%
- 11.33%
- 32.63%
Valuation Ratios
AI Valuation Ratios Summary
The company's Price-to-SAP 500 ratio of 87.35 appears high relative to typical market standards, suggesting the stock may be overvalued unless supported by strong growth prospects. However, a PEG ratio of 0.54 indicates the stock is potentially undervalued considering its earnings growth, pointing to solid growth potential; combined with a reasonable book value per share of 34.35 and substantial cash per share of 10.49, these metrics suggest the company might be undervalued relative to its fundamentals, offering promising investment opportunities.
- $409
- $162
- $12
- 87.35%
- 0.54
- $65.5
- $34.4
- 10.5