GURUFOCUS.COM » STOCK LIST » Communication Services » Interactive Media » Alphabet Inc(Google) (NAS:GOOG) » Definitions » Asset Turnover

Google (GOOG) Asset Turnover : 0.21 (As of Sep. 2024)


View and export this data going back to 2004. Start your Free Trial

What is Alphabet(Google) Asset Turnover?

Asset Turnover measures how quickly a company turns over its asset through sales. It is calculated as Revenue divided by Total Assets. Alphabet(Google)'s Revenue for the three months ended in Sep. 2024 was $88,268 Mil. Alphabet(Google)'s Total Assets for the quarter that ended in Sep. 2024 was $422,518 Mil. Therefore, Alphabet(Google)'s Asset Turnover for the quarter that ended in Sep. 2024 was 0.21.

Asset Turnover is linked to ROE % through Du Pont Formula. Alphabet(Google)'s annualized ROE % for the quarter that ended in Sep. 2024 was 34.22%. It is also linked to ROA % through Du Pont Formula. Alphabet(Google)'s annualized ROA % for the quarter that ended in Sep. 2024 was 24.90%.


Alphabet(Google) Asset Turnover Historical Data

The historical data trend for Alphabet(Google)'s Asset Turnover 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) Asset Turnover Chart

Alphabet(Google) Annual Data
Trend Dec14 Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23
Asset Turnover
Get a 7-Day Free Trial Premium Member Only Premium Member Only 0.64 0.61 0.76 0.78 0.80

Alphabet(Google) Quarterly Data
Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24
Asset Turnover 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 0.20 0.22 0.20 0.21 0.21

Competitive Comparison of Alphabet(Google)'s Asset Turnover

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

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

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



Alphabet(Google) Asset Turnover Calculation

Asset Turnover measures how quickly a company turns over its asset through sales.

Alphabet(Google)'s Asset Turnover for the fiscal year that ended in Dec. 2023 is calculated as

Asset Turnover
=Revenue/Average Total Assets
=Revenue (A: Dec. 2023 )/( (Total Assets (A: Dec. 2022 )+Total Assets (A: Dec. 2023 ))/ count )
=307394/( (365264+402392)/ 2 )
=307394/383828
=0.80

Alphabet(Google)'s Asset Turnover for the quarter that ended in Sep. 2024 is calculated as

Asset Turnover
=Revenue/Average Total Assets
=Revenue (Q: Sep. 2024 )/( (Total Assets (Q: Jun. 2024 )+Total Assets (Q: Sep. 2024 ))/ count )
=88268/( (414770+430266)/ 2 )
=88268/422518
=0.21

* 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.

Companies with low profit margins tend to have high Asset Turnover, while those with high profit margins have low Asset Turnover. Companies in the retail industry tend to have a very high turnover ratio.


Alphabet(Google)  (NAS:GOOG) Asset Turnover Explanation

Asset Turnover is linked to ROE % through Du Pont Formula.

Alphabet(Google)'s annulized ROE % for the quarter that ended in Sep. 2024 is

ROE %**(Q: Sep. 2024 )
=Net Income/Total Stockholders Equity
=105204/307436
=(Net Income / Revenue)*(Revenue / Total Assets)*(Total Assets / Total Stockholders Equity)
=(105204 / 353072)*(353072 / 422518)*(422518/ 307436)
=Net Margin %*Asset Turnover*Equity Multiplier
=29.8 %*0.8356*1.3743
=ROA %*Equity Multiplier
=24.90 %*1.3743
=34.22 %

Note: The Net Income data used here is four times the quarterly (Sep. 2024) net income data. The Revenue data used here is four times the quarterly (Sep. 2024) revenue data.

* 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.

** The ROE % used above is for Du Pont Analysis only. It is different from the defined ROE % page on our website, as here it uses Net Income instead of Net Income attributable to Common Stockholders in the calculation.

It is also linked to ROA % through Du Pont Formula:

Alphabet(Google)'s annulized ROA % for the quarter that ended in Sep. 2024 is

ROA %(Q: Sep. 2024 )
=Net Income/Total Assets
=105204/422518
=(Net Income / Revenue)*(Revenue / Total Assets)
=(105204 / 353072)*(353072 / 422518)
=Net Margin %*Asset Turnover
=29.8 %*0.8356
=24.90 %

Note: The Net Income data used here is four times the quarterly (Sep. 2024) net income data. The Revenue data used here is four times the quarterly (Sep. 2024) revenue data.

* 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.


Be Aware

In the article Joining The Dark Side: Pirates, Spies and Short Sellers, James Montier reported that In their US sample covering the period 1968-2003, Cooper et al find that firms with low asset growth outperformed firms with high asset growth by an astounding 20% p.a. equally weighted. Even when controlling for market, size and style, low asset growth firms outperformed high asset growth firms by 13% p.a. Therefore a company with fast asset growth may underperform.

Therefore, it is a good sign if a company's Asset Turnover is consistent or even increases. If a company's asset grows faster than sales, its Asset Turnover will decline, which can be a warning sign.


Alphabet(Google) Asset Turnover Related Terms

Thank you for viewing the detailed overview of Alphabet(Google)'s Asset Turnover 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