Now trading at a price of $141.9, Alphabet has moved 0.6% so far today.
Alphabet returned gains of 41.0% last year, with its stock price reaching a high of $142.38 and a low of $83.45. Over the same period, the stock outperformed the S&P 500 index by 22.0%. More recently, the company's 50-day average price was $134.62. Alphabet Inc. offers various products and platforms in the United States, Europe, the Middle East, Africa, the Asia-Pacific, Canada, and Latin America. Based in Mountain View, CA, the large-cap Technology company has 181,798 full time employees. Alphabet has not offered a dividend during the last year.
The Company Has a Positive Net Current Asset Value:
|Net Income (MM)||$12,662||$30,736||$34,343||$40,269||$76,033||$59,972|
|Earnings Per Share||$0.84||$2.05||$2.3||$2.75||$5.62||$4.42|
|Diluted Shares (MM)||15,015||15,003||14,902||14,664||13,530||13,553|
|Free Cash Flow (MM)||$50,176||$73,110||$78,068||$87,405||$116,292||$122,980|
|Capital Expenditures (MM)||-$13,085||-$25,139||-$23,548||-$22,281||-$24,640||-$31,485|
|Net Current Assets (MM)||$79,515||$80,512||$78,111||$77,224||$80,510||$55,675|
|Long Term Debt (MM)||$3,969||$4,012||$4,554||$13,932||$14,817||$14,701|
Alphabet benefits from exceptional EPS growth, a pattern of improving cash flows, and an excellent current ratio. The company's financial statements show healthy debt levels and average operating margins with a stable trend. However, the firm has slimmer gross margins than its peers. Finally, we note that Alphabet has weak revenue growth and a flat capital expenditure trend.
Alphabet's Valuation Is in Line With Its Sector Averages:
Alphabet has a trailing twelve month P/E ratio of 28.5, compared to an average of 27.16 for the Technology sector. Based on its EPS guidance of $6.66, the company has a forward P/E ratio of 20.2. The company doesn't provide forward earnings guidance, and the compound average growth rate of its last 6 years of reported EPS is 31.9%. On this basis, Alphabet's PEG ratio is 0.89. Using instead the 10.9% weighted average of Alphabet's earnings CAGR and the broader market's anticipated 5-year EPS growth rate, the company's PEG ratio is 2.62, which suggests that its shares may be overpriced. The market is placing a fair value on Alphabet's equity, since its P/B ratio of 6.71 is comparable to its sector average of 6.23. The company's shares are currently trading 227.3% above their Graham number.
Analysts Give Alphabet No Average Rating Visible In Our Data:
The 10 analysts following Alphabet have set target prices ranging from $120.0 to $160.0 per share, for an average of $143.5 with a buy rating. As of April 2023, the company is trading -6.2% away from its average target price, indicating that there is an analyst consensus of some upside potential.
The largest shareholder is Vanguard Group Inc, whose 7% stake in the company is worth $58,665,557,960.