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Google (GOOG) PEG Ratio : 0.86 (As of Apr. 05, 2025)


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What is Alphabet(Google) PEG Ratio?

PE Ratio without NRI / 5-Year EBITDA Growth Rate*

PEG Ratio is defined as the PE Ratio without NRI divided by the growth ratio. The growth rate we use is the 5-Year EBITDA growth rate. As of today, Alphabet(Google)'s PE Ratio without NRI is 18.68. Alphabet(Google)'s 5-Year EBITDA growth rate is 21.60%. Therefore, Alphabet(Google)'s PEG Ratio for today is 0.86.

* The 5-Year EBITDA Growth Rate is the 5-year average EBITDA per share growth rate. While the denominator is a percentage, we use the whole number as opposed to the decimal form for the calculation. For example, 5% would be shown as 5 as opposed to 0.05. If it's smaller than or equal to 0, then the PEG Ratio is not calculated.


The historical rank and industry rank for Alphabet(Google)'s PEG Ratio or its related term are showing as below:

GOOG' s PEG Ratio Range Over the Past 10 Years
Min: 0.59   Med: 1.51   Max: 2.19
Current: 0.85


During the past 13 years, Alphabet(Google)'s highest PEG Ratio was 2.19. The lowest was 0.59. And the median was 1.51.


GOOG's PEG Ratio is ranked better than
69.03% of 113 companies
in the Interactive Media industry
Industry Median: 1.42 vs GOOG: 0.85

Peter Lynch thinks a company with a P/E ratio equal to its growth rate is fairly valued.


Alphabet(Google) PEG Ratio Historical Data

The historical data trend for Alphabet(Google)'s PEG 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(Google) PEG Ratio Chart

Alphabet(Google) Annual Data
Trend Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23 Dec24
PEG Ratio
Get a 7-Day Free Trial Premium Member Only Premium Member Only 1.79 1.13 0.66 1.09 1.17

Alphabet(Google) Quarterly Data
Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24 Dec24
PEG 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 1.09 1.09 1.28 1.10 1.17

Competitive Comparison of Alphabet(Google)'s PEG Ratio

For the Internet Content & Information subindustry, Alphabet(Google)'s PEG Ratio, along with its competitors' market caps and PEG 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(Google)'s PEG Ratio Distribution in the Interactive Media Industry

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

* The bar in red indicates where Alphabet(Google)'s PEG Ratio falls into.


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Alphabet(Google) PEG Ratio Calculation

PEG Ratio is defined as the PE Ratio without NRI divided by the growth ratio. The ratio we use is the 5-Year EBITDA growth rate.

Alphabet(Google)'s PEG Ratio for today is calculated as

PEG Ratio=PE Ratio without NRI/5-Year EBITDA Growth Rate*
=18.682346990389/21.60
=0.86

* 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.

* Note: The 5-Year EBITDA Growth Rate is the 5-year average EBITDA per share growth rate. While the denominator is a percentage, we use the whole number as opposed to the decimal form for the calculation. For example, 5% would be shown as 5 as opposed to 0.05. If it's smaller than or equal to 0, then the PEG Ratio is not calculated.


Alphabet(Google)  (NAS:GOOG) PEG Ratio Explanation

To compare stocks with different growth rates, Peter Lynch invented a ratio called PEG Ratio. PEG Ratio is defined as the P/E ratio divided by the growth ratio. He thinks a company with a P/E ratio equal to its growth rate is fairly valued. Still he said he would rather buy a company growing 20% a year with a P/E of 20, instead of a company growing 10% a year with a P/E of 10.


Alphabet(Google) PEG Ratio Related Terms

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


Alphabet(Google) Business Description

Address
1600 Amphitheatre Parkway, Mountain View, CA, USA, 94043
Alphabet is a holding company that wholly owns internet giant Google. The California-based company derives slightly less than 90% of its revenue from Google services, the vast majority of which is advertising sales. Alongside online ads, Google services houses sales stemming from Google's subscription services (YouTube TV, YouTube Music among others), platforms (sales and in-app purchases on Play Store), and devices (Chromebooks, Pixel smartphones, and smart home products such as Chromecast). Google's cloud computing platform, or GCP, accounts for roughly 10% of Alphabet's revenue with the firm's investments in up-and-coming technologies such as self-driving cars (Waymo), health (Verily), and internet access (Google Fiber) making up the rest.
Executives
John L Hennessy director
Sundar Pichai director, officer: Chief Executive Officer GOOGLE INC., 1600 AMPHITHEATRE PARKWAY, MOUNTAIN VIEW CA 94043
Frances Arnold director 5200 ILLUMINA WAY, SAN DIEGO CA 92122
Ruth Porat officer: SVP, CFO C/O GOOGLE INC., 1600 AMPHITHEATRE PRKW, MOUNTAIN VIEW CA 94043
Kavitark Ram Shriram director 1600 AMPHITHEATRE PARKWAY, MOUNTAIN VIEW CA 94043
Ann Mather director
Lawrence Page director, 10 percent owner, officer: Chief Executive Officer 1600 AMPHITHEATRE PARKWAY, BUILDING 41, MOUNTAIN VIEW CA 94043
Sergey Brin director, 10 percent owner 555 BRYANT STREET, #367, PALO ALTO CA 94031
L John Doerr director C/O KLEINER PERKINS CAUFIELD & BYERS, 2750 SAND HILL ROAD, MENLO PARK CA 94025
Ferguson Roger W. Jr. director CORNING INCORPORATED, ONE RIVERFRONT PLAZA, CORNING NY 14831
Alan R Mulally director P.O. BOX 995, MERCER ISLAND WA 98040
Robin L Washington director 333 LAKESIDE DRIVE, FOSTER CITY CA 94404
David C Drummond officer: SVP, Corporate Development 1600 AMIPHITHEATRE PARKWAY, BUILDING 41, MOUNTAIN VIEW CA 94043
Eric E Schmidt director 1010 ALMA STREET, MENLO PARK CA 94025
Diane B Greene director C/O ALPHABET INC.,, 1600 AMPHITHEATRE PKWY, MOUNTAIN VIEW CA 94043