Monday, July 24, 2023 09:44 AM | InvestorsObserver Analysts
Mentioned in this article
Alphabet Inc Class C (GOOG) receives a strong valuation ranking of 71 from InvestorsObserver data analysis. The proprietary ranking system focuses on the underlying health of a company through analysis of its stock price, earnings, and growth rate. GOOG has a better value than 71% of stocks based on these valuation analytics. Investors primarily focused on buy-and-hold strategies will find the valuation ranking relevant to their goals when making investment decisions.
GOOG gets a 71 Valuation Rank today. Find out what this means to you and get the rest of the rankings on GOOG!
Metrics Analysis
GOOG has a trailing twelve month Price to Earnings (PE) ratio of 26.5. The historical average of roughly 15 shows a poor value for GOOG stock as investors are paying higher share prices relative to the company's earnings. GOOG's high trailing PE ratio shows that the firm has been trading above its fair market value recently. Its trailing 12-month earnings per share (EPS) of 1.18 does not justify the stock's current price. However, trailing PE ratios do not factor in the company's projected growth rate, resulting in many newer firms having high PE ratios due to high growth potential enticing investors despite inadequate earnings.GOOG has a 12 month forward PE to Growth (PEG) ratio of 1.57. Markets are overvaluing GOOG in relation to its projected growth as its PEG ratio is currently above the fair market value of 1. 1.18's PEG comes from its forward price to earnings ratio being divided by its growth rate. PEG ratios are one of the most used valuation metrics due to its incorporation of more company fundamentals metrics and a focus on the firm's future rather than its past.Summary
GOOG's valuation metrics are weak at its current price due to a overvalued PEG ratio despite strong growth. GOOG's PE and PEG are worse than the market average resulting in a below average valuation score. Click Here to get the full Report on Alphabet Inc Class C (GOOG) stock.Share this article:
Stay In The Know
Subscribe to our daily morning update newsletter and never miss out on the need-to-know market news, movements, and more.
Thank you for signing up! You're all set to receive the Morning Update newsletter
Related Articles
-
Can Omnicom Group Inc. (OMC) Stock Rise to the Top of Communication Services Sector Thursday?
Thursday, March 28, 2024 03:45 PM | InvestorsObserver Analysts
-
Is Clear Channel Outdoor Holdings Inc (CCO) Stock About to Get Hot Thursday?
Thursday, March 28, 2024 02:33 PM | InvestorsObserver Analysts
-
Communication Services Stocks on the Move Thursday: FENG, CMCM, NCTY, CURI, AMC, GDC, DOYU, IHS
Thursday, March 28, 2024 02:17 PM | InvestorsObserver Analysts
-
Is Phoenix New Media Ltd ADR (FENG) Stock a Smart Value?
Thursday, March 28, 2024 01:55 PM | InvestorsObserver Analysts
-
Is Lumen Technologies Inc (LUMN) Stock Worth a Buy Thursday?
Thursday, March 28, 2024 01:44 PM | InvestorsObserver Analysts
-
Boston Omaha Corp Cl A Down 7.71% To $15.20 After Earnings Miss
Thursday, March 28, 2024 01:25 PM | InvestorsObserver Analysts
