Latest Ratios: P/E Ratio 34.0x · EV/EBITDA 29.7x · 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 | $4.44T | $3.83T | $2.36T | $1.78T | $1.16T | $1.96T | $1.20T | $935.6B | $735.0B | $741.0B | $554.2B |
| Enterprise Value | $4.47T | $3.86T | $2.36T | $1.78T | $1.17T | $1.97T | $1.20T | $933.1B | $722.3B | $734.3B | $545.2B |
| P/E Ratio → | 33.95 | 28.95 | 23.54 | 24.08 | 19.35 | 25.82 | 29.91 | 27.22 | 23.86 | 58.52 | 28.50 |
| P/S Ratio | 11.02 | 9.50 | 6.73 | 5.78 | 4.10 | 7.62 | 6.60 | 5.78 | 5.37 | 6.68 | 6.14 |
| P/B Ratio | 10.81 | 9.22 | 7.25 | 6.27 | 4.53 | 7.80 | 5.41 | 4.64 | 4.14 | 4.86 | 3.99 |
| P/FCF | 60.60 | 52.25 | 32.38 | 25.57 | 19.35 | 29.30 | 28.10 | 30.21 | 32.19 | 31.00 | 21.46 |
| P/OCF | 26.96 | 23.24 | 18.80 | 17.47 | 12.69 | 21.42 | 18.49 | 17.16 | 15.32 | 19.98 | 15.38 |
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 | — | 9.57 | 6.74 | 5.79 | 4.13 | 7.65 | 6.60 | 5.77 | 5.28 | 6.62 | 6.04 |
| EV / EBITDA | 29.73 | 25.66 | 18.47 | 18.50 | 13.23 | 21.62 | 21.93 | 20.28 | 19.76 | 22.19 | 18.26 |
| EV / EBIT | 34.60 | 24.28 | 19.64 | 20.69 | 16.30 | 21.64 | 24.98 | 23.49 | 20.62 | 26.89 | 22.46 |
| EV / FCF | — | 52.64 | 32.41 | 25.62 | 19.48 | 29.41 | 28.11 | 30.13 | 31.64 | 30.71 | 21.11 |
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 | 2.9% | 3.5% | 4.2% | 4.2% | 5.2% | 3.9% | 3.3% | 3.7% | 4.2% | 1.7% | 3.5% |
| FCF Yield | 1.7% | 1.9% | 3.1% | 3.9% | 5.2% | 3.4% | 3.6% | 3.3% | 3.1% | 3.2% | 4.7% |
| Buyback Yield | 1.0% | 1.2% | 2.6% | 3.5% | 5.1% | 2.6% | 2.6% | 2.0% | 1.2% | 0.7% | 0.7% |
| Total Shareholder Yield | 1.3% | 1.5% | 3.0% | 3.5% | 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 risk
According to recent market data, Alphabet trades at a forward P/E of 23.69, which appears to price in sustained double-digit growth while remaining at a discount to peers like Apple, potentially reflecting investor caution regarding the long-term impact of regulatory scrutiny on its core search business model.
The current P/E multiple suggests that the market is balancing the company's accelerating revenue growth against the idiosyncratic risks of antitrust litigation. Investors should monitor whether the valuation gap relative to cloud-focused peers narrows as Google Cloud continues to scale and contribute a larger share of consolidated operating income.
Based on reported figures, Alphabet's ROIC has remained relatively stable in the 6-7% range over the last ten quarters, a trend that suggests the massive capital deployment into AI-ready compute infrastructure is currently diluting the overall efficiency of the company's invested capital base compared to historical levels.
While the company maintains a strong competitive moat, the persistent investment in data centers and hardware appears to be suppressing ROIC, as the asset base expands faster than the immediate incremental returns from these projects. This warrants further investigation into the timeline for these investments to reach full operational maturity and yield higher returns.
As reported in financial statements, Alphabet's asset turnover has hovered near 0.20, indicating that despite the significant expansion of the firm's property, plant, and equipment, the company continues to maintain a consistent ability to generate revenue from its growing asset base without experiencing meaningful operational friction.
The stability in asset turnover suggests that management is successfully integrating new infrastructure into the existing ecosystem. However, investors should monitor the DSO trend, which has remained in the 47-52 day range, to ensure that the shift toward enterprise-heavy cloud revenue does not lead to a deterioration in collection cycles.
Data from recent SEC filings indicates that Alphabet maintains a highly conservative debt-to-equity ratio of 0.19 as of 2026Q1, providing the firm with significant financial optionality to navigate potential regulatory headwinds or further aggressive capital allocation toward AI research and development without compromising its balance sheet integrity.
The company's interest coverage ratio remains exceptionally high, suggesting that debt service is not a material concern even in a higher interest rate environment. This fortress balance sheet serves as a critical buffer, allowing Alphabet to prioritize long-term strategic investments over short-term debt reduction or liquidity preservation.
As indicated by the company's unique cost structure, the P/E ratio is frequently misapplied to Alphabet because it fails to account for the significant non-cash stock-based compensation and the heavy, non-recurring nature of infrastructure investments that often obscure the firm's true underlying economic earning power.
Analysts should instead focus on FCF-based metrics or adjusted EBITDA, which better reflect the cash-generating capacity of the core advertising and cloud segments. Relying solely on GAAP P/E may lead to an inaccurate assessment of the company's valuation, particularly given the volatility introduced by the 'Other Bets' segment's operational losses.
Includes 30+ ratios · 24 years · Updated daily
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Quick answers to the most common questions about buying GOOGL stock.
Alphabet Inc.'s current P/E ratio is 34.0x. The historical average is 36.8x. This places it at the 73th percentile of its historical range.
Alphabet Inc.'s current EV/EBITDA is 29.7x. This enterprise value multiple compares the company's total value (equity + debt - cash) to its EBITDA. The historical average is 23.5x.
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 34.0x. This is at the 73th 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 0.22% 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.