XStocksXray

Research report · 22 October 2026

Alphabet Inc. (GOOG)

Communication Services · Interactive Media & Services · US stock · price as of 22 Oct 2026

Key indicators

Price	$320.76
52-week range	$250.45 – $404.47
Market cap	$3.95T
P/E (trailing)	16.1×
EV / EBITDA	25.8×
Free-cash-flow yield	1.3%
Dividend yield	0.3%
Revenue (last 12 months)	$445.9B
Revenue growth (3y a year)	12.5%
Operating margin	33.1%
Return on invested capital	23.3%
Net debt / EBITDA	-0.8×

Fair value

Fair value (average of valid models)$264.44 middle half of models $236 – $283

Versus priceOvervalued−18% to fair value

P/E multiple	$342.16
P/B multiple	$335.01
P/S multiple	$268.02
EV/EBITDA multiple	$280.55
EV/EBIT multiple	$283.92
EV/revenue multiple	$282.35
10-year DCF, EBITDA exit	$203.75
5-year DCF, EBITDA exit	$276.66
10-year DCF, revenue exit	$203.70
5-year DCF, revenue exit	$274.75
Earnings power value	$157.94
Model uncertainty	Medium

X-Ray Score

50/ 100 · High confidence · ahead of 39% of sector peers

Valuation21

Growth61

Profitability55

Financial health77

Dividends35

Five-year price chart navy: price · brown: 200-day average · blue band: fair value range

Executive summary

Alphabet is the parent company of Google and several other businesses. Its main source of revenue is advertising shown on Google Search, YouTube and a network of partner sites. It also earns money from cloud computing and data services, subscriptions, app store sales and hardware devices. Other Bets, such as the self-driving unit Waymo, are earlier stage ventures that contribute little revenue and absorb considerable investment.

The company reported trailing revenue of $445.9 billion and three-year growth of 12.5% a year. Profitability figures show an operating margin of 33.1% and a return on invested capital of 23%. On leverage, net debt to EBITDA is -0.8 times, so cash exceeds debt. The dividend yield is 0.3%. Taken together, these numbers give a factual snapshot of the business.

StocksXray gives Alphabet Inc. an X-Ray Score of 50 out of 100 (high confidence), ahead of 39% of the S&P 500 stocks in its sector. Its strongest lens is financial health (77) and its weakest is valuation (21).

Our fair value (the average of the valid models) is $264.44 (range $235.88 to $283.13). At $320.76 the stock trades 21% above that value, so the label is "Overvalued" with medium model uncertainty. Fair value is a range, not a price target.

XStocksXray

Alphabet Inc. (GOOG)

Valuation history multiples at each fiscal year-end price; the last column uses today's price and the last twelve months

	FY2021	FY2022	FY2023	FY2024	FY2025	Now
Price	$143.32	$87.90	$139.61	$189.33	$313.19	$320.76
Market cap	–	$1.16T	$1.78T	$2.36T	$3.83T	$3.95T
P/E	25.5×	19.3×	24.1×	23.5×	29.0×	16.1×
EV / revenue	–	3.7×	5.5×	6.5×	9.3×	8.5×
EV / EBITDA	–	14.1×	19.9×	20.2×	29.1×	25.8×
Price / free cash flow	–	19.3×	25.6×	32.4×	52.3×	74.1×
Free-cash-flow yield	–	5.2%	3.9%	3.1%	1.9%	1.3%
Price / book	–	4.5×	6.3×	7.2×	9.2×	6.2×
Dividend yield	–	–	–	0.32%	0.27%	0.27%

Fundamentals checklist ● 6 Good · ● 5 Average · ● 5 Bad · each check graded against the sector

Cash quality

Earnings backed by cash6.3%Bad

Free-cash-flow yield1.3%Bad

Risk models

Altman Z score6.8×Good

Piotroski F-Score6 of 9Average

Growth

EPS growth (3y)33.3%Average

Free-cash-flow growth (3y)6.9%Average

Revenue growth (3y)12.5%Average

Growth consistency100%Good

Balance sheet

Current ratio2.7×Good

Net debt / EBITDA-0.8×Good

Interest coverno interest costGood

Valuation

Fair value vs price0.8×Bad

EBIT / EV yield3.9%Bad

Profitability

Return on invested capital23.3%Average

Operating margin33.1%Good

Gross profitability29.4%Bad

XStocksXray

Alphabet Inc. (GOOG)

Financials US$ millions, from SEC filings; last column is the last twelve months

Income statement	FY21	FY22	FY23	FY24	FY25	LTM
Revenue	257,637	282,836	307,394	350,018	402,836	445,867
Gross profit	146,698	156,633	174,062	203,712	240,301	271,517
Operating income	78,714	74,842	84,293	112,390	129,039	147,628
Net income	76,033	59,972	73,795	100,118	132,170	244,205
Diluted EPS ($)	5.61	4.56	5.80	8.04	10.81	19.94
Free cash flow	67,012	60,010	69,495	72,764	73,266	53,273
Gross margin	56.9%	55.4%	56.6%	58.2%	59.7%	60.9%
Operating margin	30.6%	26.5%	27.4%	32.1%	32.0%	33.1%
Net margin	29.5%	21.2%	24.0%	28.6%	32.8%	54.8%
Balance sheet	FY21	FY22	FY23	FY24	FY25	LTM
Total assets	359,268	365,264	402,392	450,256	595,281	921,983
Cash	20,945	21,879	24,048	23,466	30,708	55,911
Total debt	14,817	14,701	12,870	14,182	48,543	100,164
Equity	251,635	256,144	283,379	325,084	415,265	640,480
Dividend per share ($)	–	–	–	0.60	0.83	0.85

Revenue and net income US$ billions: navy revenue, teal net income

Margins blue gross, teal operating, brown net

Latest quarters

	Mar 2025	Jun 2025	Sep 2025	Dec 2025	Mar 2026	Jun 2026
Revenue ($M)	90,234	96,428	102,346	113,829	109,896	119,796
Growth vs a year earlier	+12.0%	+13.8%	+15.9%	+18.0%	+21.8%	+24.2%
Net income ($M)	34,540	28,196	34,979	34,455	62,578	112,193
Diluted EPS ($)	2.81	2.31	2.87	–	5.11	9.11

XStocksXray

Alphabet Inc. (GOOG)

Peers in Interactive Media & Services

Company	X-Ray
GOOG · Alphabet Inc.	50
RDDT · Reddit, Inc.	69
META · Meta Platforms, Inc.	58

Market Compass outlook for Communication Services: Favourable (73/100). It blends regime history, macro sensitivity, momentum and valuation.

Returns

1 week	−7.0%
1 month	−7.7%
3 months	−6.1%
6 months	−4.9%
1 year	+27.4%
3 years	+136.8%
5 years	+133.6%

Technical summary

DailyStrongly bearish3 bullish · 1 neutral · 12 bearish

WeeklyBearish4 bullish · 1 neutral · 7 bearish

MonthlyBullish5 bullish · 1 neutral · 2 bearish

50-day / 200-day average	$340.05 / $339.13
52-week low / high	$250.45 / $404.47
Classic pivot, support and resistance	S2 313.05 · S1 316.91 · P – · R1 326.16 · R2 331.55

Recent dividends

Ex-dividend date	Amount per share
4 Sep 2026	$0.2200
8 Jun 2026	$0.2200
9 Mar 2026	$0.2100
8 Dec 2025	$0.2100
8 Sep 2025	$0.2100
9 Jun 2025	$0.2100

XStocksXray

Alphabet Inc. (GOOG)

Strengths

Operating margin of 33.1% is ahead of 86% of its sector peers.
Interest cover of no interest cost is ahead of 97% of its sector peers.
Holds more cash than debt (net debt to EBITDA of -0.8×).
Piotroski F-Score of 6 out of 9: most of the nine accounting health tests pass.

Risks and weak spots

Earnings backed by cash is weak against Communication Services peers (6.3%).
Free-cash-flow yield is weak against Communication Services peers (1.3%).
Fair value vs price is weak against Communication Services peers (0.8×).
EBIT / EV yield is weak against Communication Services peers (3.9%).
Gross profitability is weak against Communication Services peers (29.4%).
The price is above our fair value range, so good news may already be in the price.

Latest SEC filings

Date	Form	Items
10 Aug 2026	8-K	8.01,9.01
6 Aug 2026	424B5
6 Aug 2026	424B5
23 Jul 2026	10-Q
22 Jul 2026	8-K	2.02,9.01
11 Jun 2026	8-K	5.02,5.07,9.01
5 Jun 2026	8-K	5.02
5 Jun 2026	8-K	1.01,3.03,5.03,9.01

How to read this report

Every number comes from SEC filings, end-of-day prices and the StocksXray models described on the methodology page. The X-Ray Score ranks each metric against the company's own sector. Fair value is the average of up to 15 valuation models, most of them anchored to the company's own multiples, so it stays near the price and should be read as a range, not a point. Analyst ratings, price targets and earnings-call summaries are not part of this report. Educational research, not financial advice; read the disclaimer.