Stock fact sheet · data as of
Alphabet Inc. (GOOG): fair value, margin of safety and Wheel Score
Communication Services · Internet Content & Information · United States · High Growth
Is GOOG undervalued?
At 344.91 (close of 16 Oct 2026), GOOG trades 18% over the GLS average fair value of 292.35. 2 of the 9 models land above the price and 7 below. A negative margin of safety costs Value points in the Wheel Score (5 of 25 here) - the models see no discount, which does not make the business a poor one, only the price a full one.
The 9 models disagree widely: DDM gives 12.65 while GLS Growth gives 1,226.14. A spread that wide means the average is sensitive to which methods you trust; the model table below shows where each one lands, and the Quote page lets you switch any of them off.
The nightly engine files GOOG under High Growth: revenue and earnings growing fast enough that the growth-based models carry the valuation.
Nine valuation models for GOOG
Each model turns the latest filed numbers into a value per share; the GLS fair value is the simple average of the ones that produce a positive number. The last two rows are shown for reference and never enter the average. The Quote page lets you switch any model off and add your own margin of safety.
| Model | Value | vs price | What it measures |
|---|---|---|---|
| DCF | 97.26 | -72% | Present value of the projected free cash flows, discounted at the cost of capital |
| Graham Number | 154.39 | -55% | The most a defensive investor pays for the earnings and book value per share |
| Graham Growth | 387.57 | +12% | Graham's growth formula: EPS × (8.5 + 2 × growth), adjusted for bond yields |
| Lynch | 112.77 | -67% | EPS × the earnings growth rate (PEG of 1), growth capped at 25% |
| GLS Growth | 1,226.14 | +255% | EPS compounded ten years at the blended growth rate, discounted back at 15% a year |
| 10 Cap | 243.70 | -29% | Owner's earnings (operating cash flow less maintenance capex) capitalised at 10% |
| Payback Time | 173.40 | -50% | Eight years of compounded free cash flow: the price at which the business pays for itself |
| DDM | 12.65 | -96% | Dividend discount model: next year's dividend ÷ (10% − 3% growth); needs a dividend |
| EPV | 223.31 | -35% | Earnings power value: current EPS capitalised at 9% with no growth |
| Zombie (liquidation) | 2.13 | -99% | Current assets less all liabilities, per share: the balance-sheet floor. Not in the average |
| Wall St target | 435.29 | +26% | Analysts' average 12-month price target. Not in the average |
Quality and financial health
Financial health is average - GOOG passes 5 of the nine Piotroski tests, which falls one point short of the Sunday Scan's "6 or more" rule. The Financials tab on the Quote page shows which tests fail. The GLS Moat score is 9.6 out of 10, built from ten years of revenue, earnings, margins, cash flow, share count and returns on capital scored for consistency - a high reading that points to a durable business.
Returns on capital are high - ROIC 27.9%, ROE 31.8%, ROA 22.2% - with debt at 0.14 times equity and a free-cash-flow yield of 1.3%.
The dividend yield is 0.25% with a payout ratio of 4% - a small yield that leaves most of the earnings in the business. Revenue comes mainly from Google Search & other 53%, Google Cloud 21%, Google subscriptions, platforms, and de… 11% (quarter Q2 FY2026).
Institutional ownership scores 3/10, insider activity 1/10 and Congressional trading 5/10 on the GLS smart-money scales; the last recorded insider buy was on 14 Sep 2026.
| Piotroski F-score | 5 / 9 | ROIC | 27.9% |
|---|---|---|---|
| GLS Moat | 9.6 / 10 | ROE | 31.8% |
| Debt / equity | 0.14 | ROA | 22.2% |
| Free-cash-flow yield | 1.3% | Payout ratio | 4% |
| Institutions | 3 / 10 | Insiders · Congress | 1 · 5 / 10 |
Wheel Score 71: Good
GOOG scores 71 out of 100 on the Wheel Score (Good band, 65-79). The score blends the margin of safety (Value, 5/25), Piotroski health (11/20), the GLS moat (14/15), the option premium on offer (20/20) and how easily the stock trades (20/20). Value (5/25) is the part holding the score back.
Implied volatility is 38% on the near-the-money contracts 20-60 days out - inside the 35-60% range the Wheel Score pays full marks for: enough premium to be worth selling, not so much that the risk is unpaid. The option chain is deep: 825,130 contracts of open interest across all expiries, which means tight fills at most strikes.
Volume runs at 15.2M shares a day on a market cap of $4.22T, with a beta of 1.20; the Stability part of the Wheel Score gives that 20 of 20.
| Part | Points | From | |
|---|---|---|---|
| Value | 5 / 25 | -18% margin of safety | |
| Health | 11 / 20 | Piotroski 5/9 | |
| Moat | 14 / 15 | moat 9.6/10 | |
| Premium | 20 / 20 | implied volatility 38% | |
| Stability | 20 / 20 | 15.2M shares/day, $4218.2B cap, beta 1.20 |
The Wheel Score ranks ~7,400 US stocks for selling cash-secured puts and covered calls; it is updated nightly and is not a recommendation. The walkthrough lesson shows how the score fits into a trade, start to finish.
Upcoming events
Alphabet Inc. reports earnings on 28 Oct 2026 (after the close) - inside the 14-day window the Sunday Scan avoids, because a put sold now would carry the report's gap risk.
Earnings, dividend, IPO, split and economic calendars for the whole market, filterable to your watchlists.
Similar stocks in Internet Content & Information
The 12 companies below are the closest to Alphabet Inc. by market cap within the Internet Content & Information industry, each with its own fact sheet; the Compare page puts up to eight of them side by side.
| Stock | Close | Fair value | MoS | Wheel | Mkt cap |
|---|---|---|---|---|---|
| GOOGL Alphabet Inc. | 349.22 | 295.17 | -18% | 70Good | $4.25T |
| META Meta Platforms, Inc. | 736.72 | 582.79 | -26% | 66Good | $1.88T |
| GOOGM Alphabet Inc. Depository Shs Repr 1/20th Conv Pfd Registered Shs | 49.63 | 116.77 | +57% | 39No options | $291.2B |
| GOOGN Alphabet Inc. Depository Shs Repr 1/20th Conv Pfd Registered Shs | 49.18 | 116.30 | +58% | 39No options | $288.6B |
| SPOT Spotify Technology S.A. | 523.96 | 457.61 | -14% | 66Good | $107.7B |
| DASH DoorDash, Inc. | 193.05 | 97.85 | -97% | 58Fair | $83.6B |
| RDDT Reddit, Inc. | 148.52 | 151.16 | +2% | 67Good | $28.6B |
| BIDU Baidu, Inc. | 82.56 | 378.22 | +78% | 45Weak | $28.1B |
| PINS Pinterest, Inc. | 21.76 | 20.04 | -9% | 69Good | $13.8B |
| TME Tencent Music Entertainment Group | 8.48 | 41.25 | +79% | 83Prime | $12.2B |
| SNAP Snap Inc. | 6.10 | 9.40 | +35% | 45Weak | $10.3B |
| MTCH Match Group, Inc. | 44.10 | 91.45 | +52% | 88Prime | $10.1B |
⚖ Compare GOOG with 7 of them All Communication Services stocks →
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Start free See the Sunday ScanQuestions about GOOG
Is GOOG undervalued right now?
No: at 344.91 the stock trades 18% above the GLS average fair value of 292.35 (data as of 16 Oct 2026). The margin of safety is negative.
What is the Wheel Score of GOOG and what does it mean?
GOOG scores 71 out of 100 (Good). The Wheel Score blends the margin of safety (25 points), Piotroski health (20), the GLS moat (15), the option premium on offer (20) and trading stability (20) into one number that ranks stocks for the wheel strategy - selling cash-secured puts, then covered calls if assigned. 80 and above is Prime, 65-79 Good, 50-64 Fair, under 50 Weak.
What is the GLS fair value for GOOG?
292.35 per share as of 16 Oct 2026 - the simple average of the 9 valuation models (out of nine: DCF, Graham Number, Graham Growth, Lynch, GLS Growth, 10 Cap, Payback Time, DDM and EPV) that produced a positive value. The models run every night on the latest filings; the Quote page lets you switch any of them off and add a margin of safety of your own.
When does Alphabet Inc. report earnings next?
The next earnings report is due on 28 Oct 2026 (after the close), 12 days from the data date of 16 Oct 2026. The Calendars page lists every upcoming report with its time of day.
Does GOOG have listed options, and how liquid are they?
Yes. The nightly snapshot found 1,000 listed contracts with 825,130 open interest across all expiries and implied volatility of 38% on the near-the-money contracts. The Options scanner lists the cash-secured put and covered call set-ups with premium and annualised yield worked out.