Invest Well in Google (Alphabet) Stock: Products, Dividend, Financial Statements, and More
When making long-term investments to ensure stability through diversified investments, it is recommended to prioritize ETFs that include Google (Alphabet) stocks. However, there might still be individuals who wish to invest directly in Google (Alphabet) stocks. Shall we also explore a value investing approach to assess whether Google (Alphabet)'s performance will grow in the long term?
Q. What products and services does Google (Alphabet) provide?
Alphabet is the parent company of various technology companies, including Google. It leverages various digital technologies such as artificial intelligence, machine learning, and cloud computing to provide products and services. It offers a range of internet technology services, including the Google search engine, online advertising through Ads, cloud computing via GCP, mobile operating system Android, web browser Chrome, and video platform YouTube. Google is continually innovating to develop new products and services.
- Google: Google provides a service through Google Search, allowing users to quickly and easily find various information.
- GCP: Google Cloud Platform provides powerful IT infrastructure to businesses and individuals.
- Ads: Through advertising platforms, companies can effectively expose advertisements to potential customers.
- Android: Google operates the world’s most widely used smartphone operating system Android and the Play Store to run the app ecosystem.
- Youtube: Google operates the world’s most widely used video platform Youtube.
- Workspace: Google provides cloud-based office software with various functions.
- Chrome: Google operates the world’s most widely used web browser Google Chrome.
- Bard: Google has leading technology in the field of artificial intelligence.
Q. What is Google (Alphabet)'s competitive advantage?
Alphabet has a significant presence in internet-based platforms and ecosystems with a large market share.
- Google: Alphabet operates the most widely used search engine worldwide.
- YouTube: Alphabet operates the most widely used video platform worldwide.
- Android: Alphabet operates the most widely used smartphone operating system and app ecosystem worldwide.
- Ads: Alphabet operates an online advertising platform where advertisers can display ads on Google Search and partner sites to reach target users with promotions. It holds a market share of up to 90% in the online advertising market.
- Chrome: Alphabet operates Google Chrome, the most widely used web browser in the world. It also has an ecosystem of Chrome Extension apps.
Q. Is Google (Alphabet)'s executive CEO honest and competent?
- Sundar Pichai is the CEO of Google and Alphabet.
- As the Product Manager of the web browser Google Chrome, he led the development of Google Chrome.
- Sundar Pichai joined Google in 2004 and has been CEO since 2015.
- Sundar Pichai was born in India and studied at Stanford University.
Q. What mission does Google (Alphabet) have for its work?
Google strives to do its best to bring about positive changes in as many people's lives as possible.
- User Protection: Google safeguards billions of online users daily, employing industry-leading security measures, responsible data practices, and user-friendly privacy settings to ensure their safety.
- Expanding Opportunities: With $1 billion in grants and one million hours of volunteer time, Google invests in local communities, its members, and the regional economy to provide opportunities for the present and future.
- Culture of Inclusivity: Google is committed to creating a world where progress, equitable outcomes, diversity, and inclusivity thrive both within and outside the workplace.
- Crisis Response: Google provides assistance to people in times of crisis through its products, personnel, and partnerships.
- Sustainability: Google works to increase the accessibility of information and promote innovation to move towards a more sustainable future.
Q. Is Google (Alphabet)'s financial statements healthy?
Net Profit Margin
- Google (Alphabet) has earned an annual net profit equivalent to 3.88% of the current stock price.
- It's good to see that the net profit has been growing at an annual rate of 19.13% over the past 5 years.
Total Debt
- The debt is 19.95% of the annual net profit.
- It would take about 1 years for the company to repay all of its debt.
- The net profit is growing, so Google (Alphabet) can repay the debt faster.
Share Buyback
- Apple recently repurchased its own shares equivalent to 3.24% of the stock price in the past year.
- The recent share buyback amount is 107.86% higher than the 3-year average.
Q. What is Google (Alphabet)'s stock performance like?
- This year's total return is 46.94%.
- 5-year mean total return is 20.46%.
Q. When is a good time to buy and sell Google (Alphabet)?
If Google (Alphabet) is healthy and growing, it will rise in the long run, so it is good to buy in installments even if you think the current stock price is a bit high. On the other hand, if you think that Google (Alphabet) is no longer healthy in the long run, you can consider selling.
PER
- Current: 26.25
- 5Y Avg: 26.35
- Current value is lower than the average, so it may be time to consider buying. However, this strategy is only recommended if you are convinced that the company will continue to be healthy and grow in the long term.
Price/Sale Ratio
- Current: 6.19
- 5Y Avg: 6.02
- Current value is higher than average so be careful when buying. However, purchasing can be considered only if you judge that the company will sustain high long-term growth.