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Alphabet Led Its Internet Peers in Global Market Cap on June 27

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Alphabet’s scale

On June 27, 2017, Alphabet (GOOG) was the largest Internet player in terms of global market capitalization—$639.2 billion. In comparison, its peers had the following market cap levels:

  • Facebook (FB): $432.2 billion
  • Alibaba (BABA): $361.8 billion
  • Amazon (AMZN): $462.3 billion
  • Twitter (TWTR): ~$13.1 billion
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Shareholder returns and stock trends

Alphabet (GOOG) generated investor returns of -4.5% in the trailing-one-month period and 38.8% in the trailing-12-month period. The company’s stock price lost 2.5% in the trailing-five-day period.

Moving averages

On June 27, 2017, Alphabet stock was trading at $927.33. This price was 5.4% above its 100-day moving average of $880.00, 0.61% below its 50-day moving average of $933.00, and 3.3% below its 20-day moving average of $959.00.

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Alphabet’s cash flow numbers in focus

Alphabet has cash in hand of ~$92.5 billion. Alphabet stock is trading at a price-to-cash-flow multiple of 17.3x and a price-to-free-cash-flow multiple of 23.5x.

For the last one-year period, the company’s enterprise-value-to-cash-flow multiple was 14.8x, and its enterprise-value-to-cash-flow multiple was 20.3x.

Enterprise value measures a company’s total value, and it’s often used as a more comprehensive alternative to equity market capitalization.

Alphabet’s price multiples

On June 27, 2017, Alphabet was trading at a forward EV-to-EBITDA[1. enterprise value to earnings before interest, tax, depreciation, and amortization] multiple of 13.1x. Among its peers, Facebook, Alibaba, Amazon, and Twitter, had EV-to-EBITDA multiples of ~17.1x, 23.7x, 23.7x, and 17.5x, respectively.

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