Is Alphabet Stock Outperforming Its Rivals?
With Alphabet surging 11% in a Week, it makes sense to re-evaluate vs its peers. Consistently assessing alternatives is core to a sound investment approach. Here is how Alphabet (GOOGL) stock stacks up against its peers in size, valuation, growth and margin.
- GOOGL’s operating margin of 32.2% is high, higher than most peers though lower than MSFT (46.3%).
- GOOGL’s revenue growth of 13.4% in the last 12 months is strong, outpacing AAPL, AMZN but lagging MSFT, META, Z.
- GOOGL gained 62.1% in the past year and trades at a PE of 27.4, outperforming its peers.
As a quick background, Alphabet provides diverse products and services including ads, Android, Chrome, hardware, cloud solutions, health technology, and internet services across various segments.
A single stock can be risky, but there is a huge value to a broader, diversified approach. If you seek an upside with less volatility than holding an individual stock, consider the Trefis High Quality Portfolio (HQ). HQ has outperformed its benchmark — a combination of S&P 500, Russell, and S&P midcap index — and achieved returns exceeding 91% since its inception. Risk management is key — consider what the long-term portfolio performance could be if you blended 10% commodities, 10% gold, and 2% crypto with HQ’s performance metrics.
| GOOGL | AAPL | MSFT | AMZN | META | Z | |
|---|---|---|---|---|---|---|
| Market Cap ($ Bil) | 3,402.0 | 4,044.6 | 3,908.0 | 2,370.6 | 1,677.5 | 17.3 |
| Revenue ($ Bil) | 385.5 | 408.6 | 293.8 | 670.0 | 189.5 | 2.4 |
| PE Ratio | 27.4 | 40.7 | 37.3 | 33.6 | 28.7 | -278.9 |
| LTM Revenue Growth | 13.4% | 6.0% | 15.6% | 10.9% | 21.3% | 15.3% |
| LTM Operating Margin | 32.2% | 31.9% | 46.3% | 11.4% | 43.2% | -5.6% |
| LTM FCF Margin | 19.1% | 23.5% | 26.6% | 2.0% | 23.7% | 9.0% |
| 12M Market Return | 62.1% | 18.5% | 22.5% | 15.6% | 13.0% | 20.2% |
Why does this matter? GOOGL just went up 14.9% in a month – peer comparison puts stock performance, valuation, and financials in context – highlighting whether it is truly outperforming, lagging behind, and above all – can this continue? Read Buy or Sell GOOGL Stock to see if Alphabet holds up as a quality investment.
Revenue Growth Comparison
| LTM | 2025 | 2024 | 2023 | 2022 | |
|---|---|---|---|---|---|
| GOOGL | 13.4% | – | 13.9% | 8.7% | 9.8% |
| AAPL | 6.0% | – | 2.0% | -2.8% | 7.8% |
| MSFT | 15.6% | 14.9% | 15.7% | 6.9% | |
| AMZN | 10.9% | – | 11.0% | 11.8% | 9.4% |
| META | 21.3% | – | 21.9% | 15.7% | -1.1% |
| Z | 15.3% | – | 15.0% | -0.7% | -8.2% |
Operating Margin Comparison
| LTM | 2025 | 2024 | 2023 | 2022 | |
|---|---|---|---|---|---|
| GOOGL | 32.2% | – | 32.1% | 27.4% | 26.5% |
| AAPL | 31.9% | – | 31.5% | 29.8% | 30.3% |
| MSFT | 46.3% | 45.6% | 44.6% | 41.8% | |
| AMZN | 11.4% | – | 10.8% | 6.4% | 2.4% |
| META | 43.2% | – | 42.2% | 34.7% | 24.8% |
| Z | -5.6% | – | -8.5% | -12.7% | -3.5% |
PE Ratio Comparison
| LTM | 2025 | 2024 | 2023 | 2022 | |
|---|---|---|---|---|---|
| GOOGL | 27.4 | – | 23.3 | 23.9 | 19.2 |
| AAPL | 40.7 | – | 41.0 | 31.3 | 21.1 |
| MSFT | 37.3 | 30.8 | 31.7 | 24.7 | |
| AMZN | 33.6 | – | 38.8 | 51.5 | -314.4 |
| META | 28.7 | – | 23.8 | 23.3 | 13.9 |
| Z | -278.9 | – | -154.8 | -85.5 | -77.2 |
While peer comparison is critical, the Trefis High Quality (HQ) Portfolio, with a collection of 30 stocks, has a track record of comfortably outperforming its benchmark that includes all 3 — the S&P 500, S&P mid-cap, and Russell 2000 indices. Why is that? As a group, HQ Portfolio stocks provided better returns with less risk versus the benchmark index; less of a roller-coaster ride, as evident in HQ Portfolio performance metrics.