Latest Price
$368.51
-9.8% from 52-week high
Alphabet Inc. - Google stock and financial dashboard
Google performance dashboard
Alphabet combines a powerful Search and YouTube profit engine with fast-scaling Cloud and AI products. The key valuation question is whether AI-driven growth can earn through the very large capex cycle now pressuring free cash flow.
YTD Return
+17.7%
From $313.00 on Dec 31, 2025
3-Year Return
+198.3%
Strong rerating since Jun 2023
FY2025 Revenue
$402.8B
+15.1% YoY, 16.7% CAGR since 2018
FY2025 Op. Margin
32.0%
+11.9 pts vs 2018
Q1 2026 Revenue
$109.9B
+21.8% YoY, EPS $5.11
Share Price Performance
Monthly close through Jun 18, 2026, with latest quote shown in the KPI row.
5-Year Return
+206.8%
$120.11 to $368.51
Since Jun 2018
+522.7%
Monthly series low: $49.23 in Dec 2018
1-Year Return
+112.6%
AI optimism and Cloud growth lifted the stock
Upside to 52W High
+10.9%
If price revisits $408.61
Revenue Mix by Segment
Google's value proposition starts with Search scale, then adds YouTube, Cloud, subscriptions, devices, and emerging bets.
Search & other
Cloud
YouTube ads
Network
Other
Search Cash Cow vs Cloud Growth
Indexed revenue shows the core Search franchise compounding while Cloud scales much faster from a smaller base.
Search & other index
Cloud index
AI Capex vs Free Cash Flow
The central Google debate: whether heavy infrastructure spending converts into durable future cash flow.
Capex
Free cash flow
Sum-of-the-Parts Valuation
Illustrative segment values show how Search anchors the market cap while a larger Cloud value adds more upside in the updated segment-driven model.
Revenue Strength
Annual revenue climbed from $136.8B in 2018 to $402.8B in 2025.
FY2025 Growth
+15.1%
Revenue reached $402.8B
Q1 2026 Growth
+21.8%
Revenue reached $109.9B
FY2024 Growth
+13.9%
Revenue reached $350.0B
Q4 2025 Growth
+18.0%
Revenue reached $113.8B
Profitability
Alphabet is pairing high operating income with unusually heavy AI investment.
FY2025 Operating Income
$129.0B
24.7% CAGR since 2018
Q1 2026 Operating Income
$39.7B
+29.7% YoY
FY2025 Free Cash Flow
$73.3B
1.6% yield on current market cap
FY2025 Capex
$91.4B
Heavy AI infrastructure cycle
Watch Items
The Google outlook has a few concrete pressure points.
Valuation has already rerated.
GOOGL is up 112.6% over one year and trades near its 52-week high.
AI capex is the main FCF drag.
Management's infrastructure build can reduce near-term FCF yield even if revenue keeps accelerating.
Regulatory risk remains real.
Search, ad tech, app-store, and AI-data scrutiny can affect remedies, margins, and optionality.
Financial Snapshot
Annual table in billions except EPS, margins, and share count.
Data note: historical financial statement values are based on Alphabet SEC company facts and company filings. FCF is operating cash flow less purchases of property and equipment. Forecast, segment charts, SOTP values, WACC, and comparables inputs are illustrative model assumptions, not investment advice.
DCF Valuation
Base case in billions except per-share values. Forecast is built by segment so Search, YouTube, Network, Cloud, and Other each carry their own growth assumptions before flowing into consolidated EBITDA, EBIT, reinvestment, and FCF. Cloud remains the fastest-growing segment and is also where Alphabet is making its largest AI infrastructure and data center capex deployments.
Implied Share Price
$390
+5.8% vs $368.51 quote
Enterprise Value
$4.70T
PV FCF + PV terminal value
Base WACC
8.0%
Lower-risk mega-cap platform assumption
Terminal Value
$6.05T
PV: $4.11T at 4.5% perpetual growth
Segment Forecast Build
Each business line is forecast separately. Cloud receives the highest growth and operating leverage assumptions, while Search remains the largest cash-flow contributor.
| Segment | 2025A Revenue | 2026E Revenue | 2030E Revenue | 2026E-2030E Revenue CAGR |
|---|---|---|---|---|
| Search & other | $226.9B | $258.7B | $368.3B | +10.2% |
| YouTube ads | $45.2B | $53.3B | $86.9B | +14.0% |
| Google Network | $30.4B | $31.0B | $31.3B | +0.6% |
| Google Cloud | $54.1B | $68.5B | $164.2B | +24.4% |
| Other | $46.3B | $51.9B | $74.5B | +10.0% |
Consolidated DCF Forecast
Segment EBIT is taxed at 16%, then D&A and reinvestment assumptions are applied by business line to calculate FCF.
| Metric | 2026E | 2027E | 2028E | 2029E | 2030E |
|---|---|---|---|---|---|
| Revenue | $463.4B | $531.2B | $599.5B | $661.7B | $725.3B |
| Revenue growth | +15.0% | +14.6% | +12.9% | +10.4% | +9.6% |
| EBITDA | $181.5B | $214.0B | $247.0B | $281.5B | $315.1B |
| EBITDA margin | 39.2% | 40.3% | 41.2% | 42.5% | 43.4% |
| EBIT | $151.7B | $180.0B | $209.2B | $238.8B | $269.5B |
| EBIT margin | 32.7% | 33.9% | 34.9% | 36.1% | 37.2% |
| NOPAT @ 16% tax | $127.4B | $151.2B | $175.7B | $200.6B | $226.4B |
| D&A | $29.8B | $34.0B | $37.8B | $42.7B | $45.6B |
| Reinvestment | ($58.7B) | ($62.7B) | ($65.5B) | ($67.3B) | ($69.5B) |
| Free cash flow | $98.5B | $122.5B | $148.0B | $176.0B | $202.5B |
| FCF margin | 21.3% | 23.1% | 24.7% | 26.6% | 27.9% |
| Discount factor | 0.926 | 0.857 | 0.794 | 0.735 | 0.681 |
| PV of FCF | $91.2B | $105.0B | $117.5B | $129.4B | $137.8B |
WACC and Valuation Bridge
The valuation bridge uses the same WACC, share count, and net cash assumptions; the target price change is driven by a lower Google Cloud revenue growth path.
PV FCF
PV terminal value
Net cash
Equity value
| Risk-free rate | 4.3% |
| Beta | 0.90 |
| Equity risk premium | 4.2% |
| Cost of equity | 8.1% |
| Debt weight / cost after tax | 2.0% / 4.0% |
| WACC | 8.0% |
FY2025 ROIC
31.0%
High return profile from Search, YouTube, and Cloud scale
2030E FCF Yield
4.5%
Based on $202.5B of 2030E FCF and current market cap
Revenue CAGR
11.8%
2026E to 2030E consolidated revenue growth
EBIT CAGR
15.5%
2026E to 2030E EBIT growth from segment operating leverage
Terminal value
$202.5B x 1.045 / (8.0% - 4.5%) = $6,046.1B
Enterprise value
$580.9B PV FCF + $4,114.9B PV TV = $4,695.8B
Equity value per share
($4,695.8B EV + $78.3B net cash) / 12.23B shares = $390
DCF Output
| PV of explicit FCF | $580.9B |
| PV of terminal value | $4,114.9B |
| Enterprise value | $4,695.8B |
| Net cash / non-operating assets | $78.3B |
| Equity value | $4,774.1B |
| Diluted shares | 12.23B |
| Implied share price | $390 |
| Upside / downside to current quote | +5.8% |
Sensitivity
Implied share price under different WACC and terminal growth assumptions using the segment-built FCF forecast.
| WACC \ g | 3.5% | 4.5% | 5.0% |
|---|---|---|---|
| 7.5% | $353 | $456 | $539 |
| 8.0% | $313 | $390 | $448 |
| 8.5% | $281 | $341 | $384 |
Cloud-led upside case
The $390 base-case target price depends on Google Cloud remaining the fastest-growing segment, scaling from $54.1B in 2025A revenue to $164.2B by 2030E. This Cloud growth supports consolidated revenue CAGR of 11.8% and EBIT CAGR of 15.5% through 2030E.
DCF note: this is an illustrative base case, not investment advice. The updated model still uses Cloud as the fastest-growing segment, but lowers Cloud revenue growth to bring the base-case target price to $390 while leaving the other major valuation assumptions unchanged.
Comparable Companies
Selected digital advertising, cloud, AI infrastructure, and mega-cap platform peers. Multiples are illustrative point-in-time inputs for relative valuation context.
| Company | Ticker | Market Cap | Revenue Growth | Gross Margin | Operating Margin | P/E | EV / Revenue | EV / EBITDA | FCF Yield |
|---|---|---|---|---|---|---|---|---|---|
| Meta Platforms | META | $1.45T | +22.2% | 82.0% | 41.4% | 19.5x | 7.2x | 14.2x | 4.3% |
| Alphabet | GOOGL | $4.51T | +15.1% | 59.7% | 32.0% | 34.1x | 11.0x | 29.5x | 1.6% |
| Amazon | AMZN | $2.35T | +11.0% | 48.0% | 10.8% | 35.0x | 3.8x | 18.0x | 3.1% |
| Microsoft | MSFT | $3.60T | +15.7% | 69.8% | 44.6% | 34.0x | 13.0x | 23.5x | 2.5% |
| Apple | AAPL | $3.20T | +2.0% | 46.2% | 31.5% | 30.0x | 8.0x | 22.0x | 3.4% |
| Snap | SNAP | $15B | +16.0% | 54.0% | -14.0% | N/M | 2.4x | N/M | N/M |
| PINS | $25B | +19.0% | 79.0% | 9.0% | 28.0x | 6.2x | 18.5x | 3.8% | |
| Peer Median | — | — | +15.7% | 58.1% | 31.5% | 34.5x | 9.1x | 22.8x | 2.8% |
Premium valuation now matters.
GOOGL's 34.1x P/E sits roughly in line with the mega-cap peer median, but above Meta and Apple despite lower current FCF yield.
Strong but not cheap on EV multiples.
GOOGL's 11.0x EV / revenue is above the peer median, meaning investors are paying for Cloud, AI, and Search durability.
FCF yield is the pressure point.
Alphabet's 1.6% FY2025 FCF yield is below the peer median because AI infrastructure spend has risen faster than operating cash flow.
Cloud and AI can defend the premium.
The bull case needs Cloud growth, Search monetization, Gemini adoption, and Waymo optionality to convert capex into durable FCF growth.
Comparables note: peer metrics are illustrative placeholders for dashboard presentation and should be refreshed from the same source/date before investment use. N/M means not meaningful due to negative earnings, negative EBITDA, or limited comparability.