Alphabet (Google) Fair Value | Alphabet Inc (GOOGL) (2024)

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As of 2024-05-21, the Fair Value of Alphabet Inc (GOOGL) is 159.68 USD. This value is based on the Peter Lynch's Fair Value formula. With the current market price of 177.85 USD, the upside of Alphabet Inc is -10.22%.

159.68 USD

Fair Price

FAIR VALUE CALCULATION

Alphabet (Google) Fair Value

Peter Lynch's formula is:

Alphabet (Google) Fair Value

= Earnings Growth Rate x TTM EPS

Alphabet (Google) Fair Value

= 23.95 x 6.67

Alphabet (Google) Fair Value

= 159.68

The earnings growth rate we use in the formula is the average growth rate of net income/earnings over the last 5 years. If the average growth rate is smaller than 5%, we set it to 5%. If it is larger than 25%, we set it to 25%. If the TTM EPS is negative, Peter Lynch Fair Value's result can be unreliable.

Historical Earnings
2019-12-31 2020-12-31 2021-12-31 2022-12-31 2023-12-31 5Y Avg
Net income 34,343.00 40,269.00 76,033.00 59,972.00 73,795.00 56,882.40
YoY growth 11.74% 17.26% 88.81% -21.12% 23.05% 23.95%

Alphabet (Google) Fair Value - Key Data

Market Cap (mil) 2,197,870.20
P/E 26.67x
Forward P/E 25.55x
EPS 6.67
Avg earnings growth rate 23.95%
TTM earnings 82,406.00
Alphabet (Google) Fair Value | Alphabet Inc (GOOGL) (2024)

FAQs

Alphabet (Google) Fair Value | Alphabet Inc (GOOGL)? ›

As of 2024-06-27, the Fair Value of Alphabet Inc

Alphabet Inc
Alphabet Inc. is an American multinational technology conglomerate holding company headquartered in Mountain View, California. Alphabet is the world's second-largest technology company by revenue and one of the world's most valuable companies.
https://en.wikipedia.org › wiki › Alphabet_Inc
(GOOGL) is 159.68 USD. This value is based on the Peter Lynch's Fair Value formula. With the current market price of 183.88 USD, the upside of Alphabet Inc is -13.2%.

What is the fair value of GOOG? ›

Fair value is the appropriate price for the shares of a company, based on its earnings and growth rate. Developed by renowned portfolio manager Peter Lynch, fair value is a theoretical calculation that gives investors a starting point to work from when deciding how much to pay for a company's shares.

Is GOOG stock overvalued? ›

Intrinsic Value. The intrinsic value of one GOOG stock under the Base Case scenario is 137.27 USD. Compared to the current market price of 183.56 USD, Alphabet Inc is Overvalued by 25%.

What is the true value of GOOGL stock? ›

Estimated DCF Value of one GOOGL stock is 135.96 USD. Compared to the current market price of 179.22 USD, the stock is Overvalued by 24%. The true DCF Value lies somewhere between the worst-case and best-case scenario values.

Why is GOOG always higher than GOOGL? ›

Price and voting rights are the only differences between GOOG and GOOGL shares of Google. Normally shares that have voting rights are more valuable than shares without voting rights. However in the case of Google stock the non-voting shares currently cost more per share.

What is the fair price of GOOG? ›

As of 2024-06-25, the Fair Value of Alphabet Inc (GOOGL) is 159.68 USD. This value is based on the Peter Lynch's Fair Value formula. With the current market price of 179.22 USD, the upside of Alphabet Inc is -10.9%.

Is it better to own GOOGL or GOOG? ›

For this reason, GOOGL shares tend to trade at a slightly higher price than GOOG shares, due to the additional voting rights. However, most retail investors cannot buy enough shares to significantly affect the company's policies, making GOOG the slightly more cost-effective choice.

What is a good buy price for GOOGL? ›

Analyst Price Targets

Based on analysts offering 12 month price targets for GOOGL in the last 3 months. The average price target is $198.92 with a high estimate of $225 and a low estimate of $168.

What is Peter Lynch's fair value? ›

He invented his own method to value stock which is now known as Peter Lynch Fair Value. It is computed by multiplying PEG, EPS TTM, and Earnings Growth Rate. This metric shows whether the company is currently trading at its fair value or not.

Is Alphabet a buy or sell? ›

Alphabet stock has received a consensus rating of buy.

Should I buy Alphabet class A or C? ›

In summary, both GOOGL and GOOG give you equal ownership in Alphabet and have performed similarly in terms of their price history. However, GOOGL does confer voting rights while GOOG doesn't and hence the former tends to trade at a slightly higher price.

Where will Google stock be in 10 years? ›

Stock Prediction 2030. In 2030, the Alphabet Inc. stock will reach $ 527.99 if it maintains its current 10-year average growth rate. If this Alphabet Inc. stock prediction for 2030 materializes, GOOG stock will grow 192.91% from its current price.

Does Google pay dividends? ›

In addition to investors receiving a dividend, Google's co-founders, Sergey Brin and Larry Page, will receive a dividend of $146 million and $78 million, respectively. Since its founding in 1998, Google has returned money to its investors through outsized performance and growth in its stock price.

What is the expected price of GOOG? ›

GOOG Stock 12 Month Forecast

Based on 9 Wall Street analysts offering 12 month price targets for Alphabet Class C in the last 3 months. The average price target is $192.17 with a high forecast of $205.00 and a low forecast of $165.00. The average price target represents a 6.29% change from the last price of $180.79.

What is the average target price for GOOG? ›

Stock Price Targets
High$225.00
Median$195.00
Low$143.00
Average$192.37
Current Price$180.26

How much was GOOG before stock split? ›

Google's stock price before the split was $2,255.34 as the market closed on 15 July 2022.

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