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Alphabet (MIL:1GOOGL) PB Ratio : 7.09 (As of Apr. 25, 2024)


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What is Alphabet PB Ratio?

The PB Ratio, or Price-to-Book ratio, or Price/Book, is a financial ratio used to compare a company's market price to its Book Value per Share. As of today (2024-04-25), Alphabet's share price is €147.82. Alphabet's Book Value per Share for the quarter that ended in Dec. 2023 was €20.86. Hence, Alphabet's PB Ratio of today is 7.09.

The historical rank and industry rank for Alphabet's PB Ratio or its related term are showing as below:

MIL:1GOOGL' s PB Ratio Range Over the Past 10 Years
Min: 3.28   Med: 4.61   Max: 8.1
Current: 7

During the past 13 years, Alphabet's highest PB Ratio was 8.10. The lowest was 3.28. And the median was 4.61.

MIL:1GOOGL's PB Ratio is ranked worse than
92.41% of 540 companies
in the Interactive Media industry
Industry Median: 1.845 vs MIL:1GOOGL: 7.00

During the past 12 months, Alphabet's average Book Value Per Share Growth Rate was 14.10% per year. During the past 3 years, the average Book Value Per Share Growth Rate was 11.30% per year. During the past 5 years, the average Book Value Per Share Growth Rate was 12.00% per year. During the past 10 years, the average Book Value Per Share Growth Rate was 13.30% per year.

During the past 13 years, the highest 3-Year average Book Value Per Share Growth Rate of Alphabet was 345.00% per year. The lowest was 10.90% per year. And the median was 19.40% per year.

Back to Basics: PB Ratio


Alphabet PB Ratio Historical Data

The historical data trend for Alphabet's PB Ratio can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

* Premium members only.

Alphabet PB Ratio Chart

Alphabet Annual Data
Trend Dec14 Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23
PB Ratio
Get a 7-Day Free Trial Premium Member Only Premium Member Only 4.54 5.25 7.72 4.34 6.02

Alphabet Quarterly Data
Mar19 Jun19 Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23
PB Ratio Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 4.34 4.94 5.66 6.13 6.02

Competitive Comparison of Alphabet's PB Ratio

For the Internet Content & Information subindustry, Alphabet's PB Ratio, along with its competitors' market caps and PB Ratio data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.


Alphabet's PB Ratio Distribution in the Interactive Media Industry

For the Interactive Media industry and Communication Services sector, Alphabet's PB Ratio distribution charts can be found below:

* The bar in red indicates where Alphabet's PB Ratio falls into.



Alphabet PB Ratio Calculation

The PB Ratio, or Price-to-Book ratio, or Price/Book, is a financial ratio used to compare a company's market price to its Book Value per Share. It is a ratio widely used to value stocks.

Alphabet's PB Ratio for today is calculated as follows:

PB Ratio=Share Price/Book Value per Share (Q: Dec. 2023)
=147.82/20.855
=7.09

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

It can also be calculated from the numbers for the whole company:

A closely related ratio is called Price-to-Tangible-Book. The difference between Price-to-Tangible-Book and PB Ratio is that book value other than intangibles are used in the calculation.


Alphabet  (MIL:1GOOGL) PB Ratio Explanation

Unlike valuation ratios relative to the earning power such as PE Ratio, PE Ratio without NRI, PS Ratio, Price-to-Operating-Cash-Flow , or Price-to-Free-Cash-Flow, the PB Ratio measures the valuation of the stock relative to the underlying asset of the company.

The PB Ratio works the best for the businesses that earn most of their profit from their assets, e.g. banks and insurance companies.


Be Aware

Some businesses have very light assets, such as software companies or insurance agencies. The PB Ratio does not work well for these companies. Some companies even have negative equity, so the PB Ratio cannot be applied to them.


Alphabet PB Ratio Related Terms

Thank you for viewing the detailed overview of Alphabet's PB Ratio provided by GuruFocus.com. Please click on the following links to see related term pages.


Alphabet (MIL:1GOOGL) Business Description

Address
1600 Amphitheatre Parkway, Mountain View, CA, USA, 94043
Alphabet is a holding company. Internet media giant Google is a wholly owned subsidiary. Google generates 99% of Alphabet revenue, of which more than 85% is from online ads. Google's other revenue is from sales of apps and content on Google Play and YouTube, as well as cloud service fees and other licensing revenue. Sales of hardware such as Chromebooks, the Pixel smartphone, and smart home products, which include Nest and Google Home, also contribute to other revenue. Alphabet's moonshot investments are in its other bets segment, where it bets on technology to enhance health (Verily), provide faster internet access (Google Fiber), enable self-driving cars (Waymo), and more.

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