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Alphabet Inc
NASDAQ:GOOGL

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Alphabet Inc
NASDAQ:GOOGL
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Price: 339.32 USD 2.12% Market Closed
Market Cap: $4.1T

EV/OCF

24.4
Current
47%
More Expensive
vs 3-y average of 16.6

Enterprise Value to Operating Cash Flow (EV/OCF) ratio compares a company`s total enterprise value to its operating cash flow. It shows how much investors are paying for each dollar of the company`s operating cash flow, including both equity and debt.

EV/OCF
24.4
=
Enterprise Value
$3.6T
/
Operating Cash Flow
$164.7B

Enterprise Value to Operating Cash Flow (EV/OCF) ratio compares a company`s total enterprise value to its operating cash flow. It shows how much investors are paying for each dollar of the company`s operating cash flow, including both equity and debt.

EV/OCF
24.4
=
Enterprise Value
$3.6T
/
Operating Cash Flow
$164.7B

Valuation Scenarios

Alphabet Inc is trading above its 3-year average

If EV/OCF returns to its 3-Year Average (16.6), the stock would be worth $230.61 (32% downside from current price).

Statistics
Positive Scenarios
0/4
Maximum Downside
-41%
Maximum Upside
No Upside Scenarios
Average Downside
33%
Scenario EV/OCF Value Implied Price Upside/Downside
Current Multiple 24.4 $339.32
0%
3-Year Average 16.6 $230.61
-32%
5-Year Average 17.7 $245.48
-28%
Industry Average 14.3 $199.19
-41%
Country Average 16.7 $231.76
-32%

Forward EV/OCF
Today’s price vs future operating cash flow

Not enough data available to calculate forward EV/OCF

Peer Comparison

All Multiples
EV/OCF
P/E
All Countries
Close
Market Cap EV/OCF P/E
US
Alphabet Inc
NASDAQ:GOOGL
4.1T USD 24.4 31
US
Meta Platforms Inc
NASDAQ:META
1.7T USD 14.5 28.1
CN
Tencent Holdings Ltd
HKEX:700
4.7T HKD 13.1 17.4
CN
Baidu Inc
NASDAQ:BIDU
43.2B USD -83.3 53.2
NL
Nebius Group NV
NASDAQ:NBIS
39.5B USD 7 824.5 29 601.4
JP
LY Corp
XMUN:YOJ
32.5B EUR 15.9 28.3
CN
Kuaishou Technology
HKEX:1024
200.3B HKD 4.6 9.1
KR
Naver Corp
KRX:035420
32.3T KRW 8.3 16.7
JP
Z Holdings Corp
TSE:4689
2.9T JPY 10.9 14
AU
REA Group Ltd
ASX:REA
23.2B AUD 31.6 40.5
NO
Adevinta ASA
OSE:ADE
139.1B NOK 29.9 -74.8
P/E Multiple
Earnings Growth PEG
US
Alphabet Inc
NASDAQ:GOOGL
Average P/E: 2 984
31
13%
2.4
US
Meta Platforms Inc
NASDAQ:META
28.1
19%
1.5
CN
Tencent Holdings Ltd
HKEX:700
17.4
16%
1.1
CN
Baidu Inc
NASDAQ:BIDU
53.2
66%
0.8
NL
Nebius Group NV
NASDAQ:NBIS
29 601.4
59%
501.7
JP
L
LY Corp
XMUN:YOJ
28.3
13%
2.2
CN
Kuaishou Technology
HKEX:1024
9.1
7%
1.3
KR
Naver Corp
KRX:035420
16.7
11%
1.5
JP
Z Holdings Corp
TSE:4689
14
13%
1.1
AU
REA Group Ltd
ASX:REA
40.5
8%
5.1
NO
Adevinta ASA
OSE:ADE
Negative Multiple: -74.8 N/A N/A

Market Distribution

Higher than 72% of companies in the United States of America
Percentile
72st
Based on 9 518 companies
72st percentile
24.4
Low
0 — 11.7
Typical Range
11.7 — 23.6
High
23.6 —
Distribution Statistics
the United States of America
Min 0
30th Percentile 11.7
Median 16.7
70th Percentile 23.6
Max 3 178 983.5

Alphabet Inc
Glance View

Alphabet Inc., birthed from the colossal success of Google, stands as a testament to the transformative power of innovation and strategic diversification. Born out of a reorganization in 2015, Alphabet was designed to segregate Google's core services, like search and advertising, from its wildly ambitious "Other Bets" ventures, such as self-driving cars, health tech, and urban innovation initiatives. This structural transformation enabled Alphabet to pursue moonshot ideas without hampering the profitability and operational focus of Google's core business. Google, undeniably the crown jewel of Alphabet's empire, drives the vast majority of the company's revenue through its dominance in digital advertising. With unparalleled reach through its search engine, YouTube, and the Google Display Network, Google captures billions in revenue by connecting advertisers with an expansive global audience. Beyond advertising, Alphabet has ventured into various sectors to broaden its revenue streams. Google Cloud, for example, has carved out a substantial niche in the competitive cloud computing industry, catering to both corporate giants and budding startups with its powerful infrastructure and artificial intelligence capabilities. Meanwhile, the company's "Other Bets," though yet to reach the financial heights of Google, represent a bold exploration into emerging technologies. Projects like Waymo seek to revolutionize transportation with autonomous vehicles, while initiatives under Verily and Calico aim to extend human life and enhance healthcare. In this way, Alphabet not only continues to fortify its dominance in the digital realm but also positions itself as a vanguard of future technological breakthroughs.

GOOGL Intrinsic Value
205.83 USD
Overvaluation 39%
Intrinsic Value
Price $339.32
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