Alphabet Inc. (GOOGL) Factsheet

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Alphabet Inc. (GOOGL) Stock Analysis

Analysis from 10-Q filed 2026-07-23. Data as of Q2 2026.

Overall Grade: F (Concerning)

Grade F (Concerning). ROIC 24.1%. FCF margin 11.9%. D/E 0.2x. Source: 10-Q filed 2026-07-23.

Metric Value Context
ROIC 24.1% Above industry average
FCF Margin 11.9% Healthy cash flow
Debt/Equity 0.2x Conservative leverage

ROIC 24.1% — Top 10% of sector peers. FCF margin 11.9% — Top 50%.

Explore Alphabet Inc.: Earnings History | Filings

Programmatic access: Available via MCP at mcp.metricduck.com. Tools for GOOGL: get_company_overview, get_filing_index (lens: debt_stress, management_outlook, risk_trajectory), get_filing_changes, get_metric_history, compare_companies, screen_filing_signals.


Profitability: Alphabet Inc. earns 24.1% ROIC, Top 10% in Technology

ROIC TTM 24.1%, sector median 3.7%, Top 10%. DuPont: NOPAT margin 27.0% × asset turnover 0.7x. Gross margin 60.9%. Operating margin 33.1%. Source: 10-Q filed 2026-07-23.

Metric GOOGL Rating Context
Return on Invested Capital (ROIC) 24.1% Excellent Above sector median of 3.7%
Return on Equity (ROE) 54.8% Excellent Efficient use of shareholder equity
Gross Margin 60.9% Excellent Strong pricing power
Operating Margin 33.1% Excellent Efficient operations

Cash Flow: Alphabet Inc. generates $53.3B FCF at 11.9% margin, positive NaN/8 quarters

FCF TTM $53.3B. FCF margin 11.9%, Top 50%. OCF/Net income 0.8x. Positive FCF in NaN/8 trailing quarters. Source: 10-Q filed 2026-07-23.

Metric GOOGL Rating Context
Free Cash Flow Margin 11.9% Good Healthy cash generation
Free Cash Flow (TTM) $53.3B Good Positive cash generation
OCF/Net Income 0.8x Adequate Potential accrual concerns
FCF Consistency (8Q) N/A Warning Variable cash flow

Balance Sheet: Alphabet Inc. at 0.2x leverage, 65.6x interest coverage

Debt/Equity 0.2x. Net cash $142.3B. Interest coverage 65.6x. Source: 10-Q filed 2026-07-23.

Metric GOOGL Rating Context
Debt to Equity 0.2x Excellent Conservative capital structure
Net Cash Position $142.3B Excellent Net cash positive
Interest Coverage 65.6x Excellent Comfortable debt service

Valuation: Alphabet Inc. trades at 16.9x earnings

P/E 16.9x. EV/Sales 9.0x. FCF yield 1.3%. Dividend yield 0.2%. Source: 10-Q filed 2026-07-23.

Metric GOOGL Rating Context
P/E Ratio 16.9x Adequate Reasonable valuation
EV/Sales 9.0x Adequate Growth premium priced in
FCF Yield 1.3% Warning Lower cash yield
Dividend Yield 0.2% Adequate Growth focus over income

Capital Allocation: Alphabet Inc. returns 0.6% shareholder yield

Total shareholder yield 0.6% (div 0.2% + buyback 0.4%). Share count +1.0% YoY. Capital returned $25.0B TTM. Source: 10-Q filed 2026-07-23.

Metric GOOGL Rating Context
Total Shareholder Yield 0.6% Adequate Dividend + buyback yield combined
Buyback Yield 0.4% Adequate Minimal buyback activity
Share Count Change (YoY) 1.0% Warning Net dilution from issuance/SBC
Total Capital Returned (TTM) $25.0B Good Dividends + buybacks returned to shareholders

Sector Rankings

Metric Value Percentile vs Median
Return on Invested Capital (ROIC) 24.1% Top 10% 6.5x above
Free Cash Flow Margin 11.9% Top 50% 1.2x above
Gross Margin 60.9% Top 50% 1.2x above
Operating Margin 33.1% Top 5% 7.6x above
Return on Equity (ROE) 54.8% Top 5% 10.3x above
P/E Ratio 16.9x N/A -

Financial Scorecard

Metric GOOGL Rating Sector Context
Return on Invested Capital (ROIC) 24.1% Excellent Top 10% of sector (median: 3.7%)
Free Cash Flow Margin 11.9% Good Top 50% of sector (median: 10.3%)
Gross Margin 60.9% Excellent Top 50% of sector (median: 50.5%)
Debt to Equity Ratio 15.6% Excellent Conservative capital structure
P/E Ratio (Price-to-Earnings) 16.9x Adequate Fair value
Free Cash Flow Yield 1.3% Warning Growth-focused valuation

Frequently Asked Questions

Q: What is Alphabet Inc.'s Return on Invested Capital (ROIC)?

Alphabet Inc. (GOOGL) has a trailing twelve-month Return on Invested Capital (ROIC) of 24.1%. The 8-quarter median ROIC is 28.3% with a declining trend. Sector median 3.7%. Source: 10-Q filed 2026-07-23.

Q: What is Alphabet Inc.'s Free Cash Flow Margin?

Alphabet Inc. (GOOGL) has a free cash flow margin of 11.9%, generating $53.3 billion in free cash flow over the trailing twelve months. Source: 10-Q filed 2026-07-23.

Q: What is Alphabet Inc.'s P/E ratio and how does it compare to peers?

Alphabet Inc. (GOOGL) trades at a P/E ratio of 16.9x, which is above the sector median of N/A. EV/Sales 9.0x. FCF yield 1.3%. Source: 10-Q filed 2026-07-23.

Q: Does Alphabet Inc. pay a dividend?

Alphabet Inc. (GOOGL) currently pays a dividend yield of 0.2%. Total shareholder yield (dividend + buybacks) 0.6%. Source: 10-Q filed 2026-07-23.

Q: What is Alphabet Inc.'s revenue and earnings growth?

Alphabet Inc. (GOOGL) grew revenue by 20.1% year-over-year. EPS +112.4% YoY. Source: 10-Q filed 2026-07-23.

Q: Is Alphabet Inc. buying back stock?

Alphabet Inc. (GOOGL) repurchased $17.4 billion of stock over the trailing twelve months. This represents a buyback yield of 0.4%. Share count +1.0% YoY. Source: 10-Q filed 2026-07-23.

Q: How does Alphabet Inc. compare to competitors in Technology?

Compared to other companies in Technology, Alphabet Inc. (GOOGL) shows: ROIC 24.1%, sector median 3.7% (Top 10%). FCF margin 11.9%, sector median 10.3% (Top 50%). Gross margin 60.9%, 10.4pp above sector median. These rankings are based on MetricDuck's analysis of all Technology companies with available SEC filings.

Q: What warning signs should I watch for with Alphabet Inc.?

Quantitative warning flags for Alphabet Inc. (GOOGL): 1) ROIC declining -7.9% over 8 quarters. Source: 10-Q filed 2026-07-23.


Data Source: Data sourced from 10-Q filed 2026-07-23. TTM metrics as of Q2 2026.

Methodology: Financial metrics calculated from SEC 10-K and 10-Q filings using standardized formulas. Sector comparisons use peer group based on SIC code.

Scope: This analysis covers SEC filing fundamentals — profitability, cash flow, balance sheet, and valuation metrics. For analyst estimates and price targets, consult sell-side research.

This analysis is for informational purposes only and does not constitute investment advice.