Alphabet Inc. (GOOG) — Free Cash Flow Yield
Communication Services
Alphabet Inc. offers various products and platforms in the United States, Europe, the Middle East, Africa, the Asia-Pacific, Canada, and Latin America. It operates through Google Services, Google Cloud, and Other Bets segments. The Google Services segment provides products and services, including ads, Android, Chrome, devices, Gmail, Google Drive, Google Maps, Google Photos, Google Play, Search, and YouTube. It is also involved in the sale of apps and in-app purchases and digital content in Google Play and YouTube; and devices, as well as the provision of YouTube consumer subscription services, such as YouTube TV, YouTube Music and Premium, NFL Sunday Ticket, and Google One. The Google Cloud segment offers consumption-based fees and subscriptions for AI solutions, including AI infrastructure, Vertex AI platform, and Gemini enterprise. It also provides cybersecurity, and data and analytics services; Google Workspace that include cloud-based communication and collaboration tools for enterprises, such as Calendar, Gmail, Docs, Drive, and Meet; and other enterprise services. The Other Bets segment sells transportation and internet services. Alphabet Inc. was incorporated in 1998 and is headquartered in Mountain View, California.
| Metric | Value |
|---|---|
| FCF Yield | 1.7% |
| Communication Services Sector Avg FCF Yield | 6.9% |
| Annual Free Cash Flow | $73.3B |
| Market Cap | $4.2T |
| P/E Ratio | 17.2x |
Alphabet Inc.'s FCF yield of 1.7% is below the Communication Services sector average (6.9%).
Frequently Asked Questions
What is Alphabet Inc.'s (GOOG) free cash flow yield?
Alphabet Inc.'s (GOOG) free cash flow yield is 1.7%. That is below the Communication Services sector average (6.9%).
Is GOOG's free cash flow yield good?
At 1.7%, GOOG's free cash flow yield is considered weak — yields above 10% are generally excellent, 7–10% good, 4–7% fair, and below 4% weak, though context varies by sector and growth stage.
How much free cash flow does Alphabet Inc. generate?
Alphabet Inc. generated $73.3B in free cash flow, against a market cap of $4.2T.
How is free cash flow yield calculated?
Free cash flow yield = (Free Cash Flow ÷ Market Capitalization) × 100%. Free cash flow equals operating cash flow minus capital expenditures.
Data from public filings. Not investment advice. Calculate your own FCF yield →