Latest Ratios: P/E Ratio 33.8x · EV/EBITDA 29.6x · ROE 35.7%. (2002–2025 historical series)
Price-based multiples — how expensive the stock is relative to earnings, sales, book value, and cash flow
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Market Cap | $4.41T | $3.84T | $2.37T | $1.79T | $1.17T | $1.96T | $1.20T | $934.0B | $728.4B | $736.1B | $539.8B |
| Enterprise Value | $4.44T | $3.87T | $2.37T | $1.80T | $1.18T | $1.97T | $1.20T | $931.4B | $715.7B | $729.3B | $530.8B |
| P/E Ratio → | 33.76 | 29.03 | 23.69 | 24.30 | 19.46 | 25.79 | 29.89 | 27.17 | 23.64 | 58.13 | 27.76 |
| P/S Ratio | 10.95 | 9.52 | 6.77 | 5.83 | 4.13 | 7.61 | 6.59 | 5.77 | 5.32 | 6.64 | 5.98 |
| P/B Ratio | 10.75 | 9.24 | 7.29 | 6.33 | 4.56 | 7.79 | 5.41 | 4.64 | 4.10 | 4.83 | 3.88 |
| P/FCF | 60.25 | 52.38 | 32.58 | 25.80 | 19.46 | 29.26 | 28.09 | 30.16 | 31.90 | 30.79 | 20.90 |
| P/OCF | 26.80 | 23.30 | 18.92 | 17.62 | 12.76 | 21.40 | 18.48 | 17.13 | 15.18 | 19.85 | 14.98 |
P/E links to full P/E history page with 30-year chart
Enterprise-value multiples — capital-structure-neutral measures of total business value
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| EV / Revenue | — | 9.59 | 6.78 | 5.84 | 4.16 | 7.64 | 6.60 | 5.75 | 5.23 | 6.58 | 5.88 |
| EV / EBITDA | 29.56 | 25.72 | 18.58 | 18.66 | 13.31 | 21.59 | 21.92 | 20.24 | 19.58 | 22.04 | 17.78 |
| EV / EBIT | 34.40 | 24.34 | 19.76 | 20.88 | 16.40 | 21.61 | 24.97 | 23.45 | 20.43 | 26.71 | 21.87 |
| EV / FCF | — | 52.77 | 32.60 | 25.84 | 19.59 | 29.37 | 28.10 | 30.07 | 31.35 | 30.51 | 20.55 |
Margins and return-on-capital ratios measuring operating efficiency
Full margin charts and quarterly trend are on the Earnings History page
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Gross Margin | 59.7% | 59.7% | 58.2% | 56.6% | 55.4% | 56.9% | 53.6% | 55.6% | 56.5% | 58.9% | 61.1% |
| Operating Margin | 32.1% | 32.1% | 32.1% | 27.4% | 26.5% | 30.6% | 22.6% | 21.1% | 20.1% | 23.6% | 26.3% |
| Net Profit Margin | 32.8% | 32.8% | 28.6% | 24.0% | 21.2% | 29.5% | 22.1% | 21.2% | 22.5% | 11.4% | 21.6% |
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| ROE | 35.7% | 35.7% | 32.9% | 27.4% | 23.6% | 32.1% | 19.0% | 18.1% | 18.6% | 8.7% | 15.0% |
| ROA | 25.3% | 25.3% | 23.5% | 19.2% | 16.6% | 22.4% | 13.5% | 13.5% | 14.3% | 6.9% | 12.4% |
| ROIC | 25.1% | 25.1% | 27.5% | 23.0% | 21.5% | 24.5% | 14.7% | 14.1% | 13.3% | 14.2% | 14.9% |
| ROCE | 30.3% | 30.3% | 33.0% | 27.3% | 25.3% | 28.2% | 16.7% | 16.0% | 14.8% | 16.2% | 17.0% |
Solvency and debt-coverage ratios — lower is generally safer
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Debt / Equity | 0.14 | 0.14 | 0.08 | 0.10 | 0.12 | 0.11 | 0.12 | 0.08 | 0.02 | 0.03 | 0.03 |
| Debt / EBITDA | 0.39 | 0.39 | 0.20 | 0.28 | 0.34 | 0.31 | 0.49 | 0.35 | 0.11 | 0.12 | 0.13 |
| Net Debt / Equity | — | 0.07 | 0.01 | 0.01 | 0.03 | 0.03 | 0.00 | -0.01 | -0.07 | -0.04 | -0.06 |
| Net Debt / EBITDA | 0.19 | 0.19 | 0.02 | 0.03 | 0.09 | 0.08 | 0.01 | -0.06 | -0.35 | -0.20 | -0.30 |
| Debt / FCF | — | 0.39 | 0.03 | 0.04 | 0.13 | 0.11 | 0.01 | -0.08 | -0.56 | -0.28 | -0.35 |
| Interest Coverage | 1110.67 | 1110.67 | 448.07 | 279.30 | 200.80 | 263.24 | 357.16 | 397.25 | 307.25 | 250.48 | 195.76 |
Short-term solvency ratios and asset-utilisation metrics
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Current Ratio | 2.01 | 2.01 | 1.84 | 2.10 | 2.38 | 2.93 | 3.07 | 3.37 | 3.92 | 5.14 | 6.29 |
| Quick Ratio | 2.01 | 2.01 | 1.84 | 2.10 | 2.34 | 2.91 | 3.05 | 3.35 | 3.89 | 5.11 | 6.27 |
| Cash Ratio | 1.23 | 1.23 | 1.07 | 1.36 | 1.64 | 2.17 | 2.41 | 2.65 | 3.15 | 4.21 | 5.15 |
| Asset Turnover | — | 0.68 | 0.78 | 0.76 | 0.77 | 0.72 | 0.57 | 0.59 | 0.59 | 0.56 | 0.54 |
| Inventory Turnover | — | — | — | — | 47.27 | 94.82 | 116.39 | 71.97 | 53.79 | 60.86 | 131.11 |
| Days Sales Outstanding | — | 56.96 | 54.58 | 56.95 | 51.95 | 55.68 | 62.76 | 62.00 | 56.54 | 61.59 | 57.54 |
Earnings, FCF, buyback, and dividend yields — total returns to shareholders
Full dividend history and growth charts are on the Dividend History page
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Dividend Yield | 0.2% | 0.3% | 0.3% | — | — | — | — | — | — | — | — |
| Payout Ratio | 7.6% | 7.6% | 7.4% | — | — | — | — | — | — | — | — |
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Earnings Yield | 3.0% | 3.4% | 4.2% | 4.1% | 5.1% | 3.9% | 3.3% | 3.7% | 4.2% | 1.7% | 3.6% |
| FCF Yield | 1.7% | 1.9% | 3.1% | 3.9% | 5.1% | 3.4% | 3.6% | 3.3% | 3.1% | 3.2% | 4.8% |
| Buyback Yield | 1.0% | 1.2% | 2.6% | 3.4% | 5.1% | 2.6% | 2.6% | 2.0% | 1.2% | 0.7% | 0.7% |
| Total Shareholder Yield | 1.3% | 1.5% | 2.9% | 3.4% | 5.1% | 2.6% | 2.6% | 2.0% | 1.2% | 0.7% | 0.7% |
| Shares Outstanding | — | $12.2B | $12.4B | $12.7B | $13.2B | $13.6B | $13.7B | $14.0B | $14.1B | $14.1B | $14.0B |
Regulatory search distribution disruption
According to recent market data, Alphabet trades at a forward P/E of 23.51, which appears to discount the company's historical premium relative to its own long-term average, potentially reflecting investor caution regarding the sustainability of AI-driven revenue growth amidst ongoing regulatory scrutiny of its search distribution model.
The current PEG ratio of 1.04 suggests that the market is pricing in a balanced outlook between near-term earnings expansion and the significant capital intensity required for AI infrastructure. Investors should monitor whether this valuation multiple remains compressed compared to peers like Microsoft, as the market may be applying a conglomerate discount to the 'Other Bets' segment.
Based on reported figures, Alphabet's ROIC has remained relatively stable, hovering between 6.0% and 7.2% over the last ten quarters, which indicates that the company's massive investments in data center infrastructure are currently diluting the overall return on capital compared to historical periods of lower capital intensity.
While the company maintains a dominant market position, the persistent drag from heavy CapEx suggests that the marginal return on new investments is being challenged by the compute-intensive nature of generative AI. This trend warrants further investigation into whether the company can achieve operating leverage once the current infrastructure build-out phase matures.
As reported in financial statements, Alphabet's asset turnover has remained consistently low at approximately 0.20, reflecting the company's capital-heavy business model where revenue growth is increasingly dependent on the scale of physical infrastructure rather than rapid inventory turnover or aggressive working capital management cycles.
The stability in DSO, which has fluctuated narrowly between 47 and 52 days, suggests that the company maintains strong leverage over its advertising customers and enterprise cloud clients. This consistency implies that the core business model remains structurally sound despite the significant shifts in the underlying cost base.
According to quarterly filings, Alphabet maintains a debt-to-equity ratio of 0.19 as of 2026Q1, which continues to reflect a highly conservative capital structure that provides the company with significant financial resilience in a volatile interest rate environment compared to broader industrial sector averages.
The interest coverage ratio, while volatile due to non-operating items, remains at levels that suggest debt service is not a material concern for the company's long-term solvency. This fortress balance sheet provides management with the necessary dry powder to navigate potential regulatory fines or further aggressive investments in AI technology.
The P/E ratio is frequently misapplied to Alphabet because it fails to account for the significant, non-cash depreciation of AI-specific hardware and the heavy, discretionary R&D spending within the 'Other Bets' segment, which artificially depresses reported earnings and obscures the company's true underlying cash-generative capacity.
Analysts should instead focus on FCF-based valuation metrics or 'TAC-net' revenue multiples to better understand the core advertising engine's profitability. Relying solely on P/E may lead to an inaccurate assessment of the company's valuation, as it ignores the strategic nature of current capital expenditures that are essential for maintaining the search moat.
Includes 30+ ratios · 24 years · Updated daily
Wall Street verdict, signals, and target summaries.
DCF models, multiple analysis, and analyst estimates.
10-year return with dividends reinvested.
See how regular investing compounds over time.
Compare growth, multiples, and margins vs sector.
Quick answers to the most common questions about buying GOOG stock.
Alphabet Inc.'s current P/E ratio is 33.8x. The historical average is 36.6x. This places it at the 77th percentile of its historical range.
Alphabet Inc.'s current EV/EBITDA is 29.6x. This enterprise value multiple compares the company's total value (equity + debt - cash) to its EBITDA. The historical average is 23.4x.
Alphabet Inc.'s return on equity (ROE) is 35.7%. This is above the typical threshold of 15-20% considered good for most companies. The historical average is 22.7%.
Based on historical data, Alphabet Inc. is trading at a P/E of 33.8x. This is at the 77th percentile of its historical P/E range. Compare with industry peers and growth rates for a complete picture.
Alphabet Inc.'s current dividend yield is 0.23% with a payout ratio of 7.6%.
Alphabet Inc. has 59.7% gross margin and 32.1% operating margin. Operating margin above 20% indicates strong pricing power and cost efficiency.
Alphabet Inc.'s Debt/EBITDA ratio is 0.4x, indicating low leverage. A ratio below 2x is generally considered financially healthy.