Stock Analysis on Net

Alphabet Inc. (NASDAQ:GOOG)

$24.99

Price to Book Value (P/BV)
since 2005

Microsoft Excel

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Calculation

Alphabet Inc., P/BV, long-term trends, calculation

Microsoft Excel

Based on: 10-K (reporting date: 2024-12-31), 10-K (reporting date: 2023-12-31), 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31), 10-K (reporting date: 2018-12-31), 10-K (reporting date: 2017-12-31), 10-K (reporting date: 2016-12-31), 10-K (reporting date: 2015-12-31), 10-K (reporting date: 2014-12-31), 10-K (reporting date: 2013-12-31), 10-K (reporting date: 2012-12-31), 10-K (reporting date: 2011-12-31), 10-K (reporting date: 2010-12-31), 10-K (reporting date: 2009-12-31), 10-K (reporting date: 2008-12-31), 10-K (reporting date: 2007-12-31), 10-K (reporting date: 2006-12-31), 10-K (reporting date: 2005-12-31).

1 US$

2 Data adjusted for splits and stock dividends.

3 Closing price as at the filing date of Alphabet Inc. Annual Report.


The financial analysis reveals several notable trends in the company's share price, book value per share (BVPS), and price-to-book value (P/BV) ratio over the observed periods from 2006 to 2025.

Share Price
The share price exhibits a general upward trajectory with some intermittent fluctuations. Initially, from 2006 to 2008, the price increased moderately from $8.47 to $13.24. There was a sharp decline in 2009 to $8.94, likely reflecting broader market conditions or company-specific challenges. Subsequently, the share price shows a strong recovery and sustained growth, reaching a high of $103.50 by 2021. After this peak, some volatility is observed, with the price decreasing to $105.22 in 2022, then rising again sharply to $193.30 by 2025, indicating considerable investor confidence and market value appreciation in recent years.
Book Value per Share (BVPS)
The BVPS shows consistent and steady growth throughout the entire period. Starting at $0.79 in 2006, it increased incrementally each year without any recorded declines, reaching $26.67 by 2025. This growth reflects ongoing accumulation of the company's net assets and suggests a solid underlying value foundation. The steady increase in BVPS indicates effective asset management and retained earnings accumulation.
Price-to-Book Value (P/BV) Ratio
The P/BV ratio started at a high value of 10.69 in 2006, indicating a significant premium of the share price over book value. Over the next few years, this ratio declined sharply to 3.99 in 2009, coinciding with the share price drop during that period. From 2010 onwards, the ratio fluctuates within a moderate range, generally between approximately 3 and 7.8. Notably, the ratio peaks again at 7.78 in 2022, aligning with a surge in share price, before moderating slightly to 7.25 in 2025. These fluctuations in the P/BV ratio suggest varying market sentiment and valuation adjustments relative to the company's equity base over time.

Overall, the data depicts a company with a strong and growing equity base, reflected in the steadily increasing book value per share. The share price growth, despite temporary setbacks, highlights investor optimism and value recognition. The P/BV ratio movements indicate changing valuation levels, influenced by market conditions and potentially company performance, but remaining at levels consistent with moderate to high growth expectations in recent years.


Comparison to Competitors

Alphabet Inc., P/BV, long-term trends, comparison to competitors

Microsoft Excel

Based on: 10-K (reporting date: 2024-12-31), 10-K (reporting date: 2023-12-31), 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31), 10-K (reporting date: 2018-12-31), 10-K (reporting date: 2017-12-31), 10-K (reporting date: 2016-12-31), 10-K (reporting date: 2015-12-31), 10-K (reporting date: 2014-12-31), 10-K (reporting date: 2013-12-31), 10-K (reporting date: 2012-12-31), 10-K (reporting date: 2011-12-31), 10-K (reporting date: 2010-12-31), 10-K (reporting date: 2009-12-31), 10-K (reporting date: 2008-12-31), 10-K (reporting date: 2007-12-31), 10-K (reporting date: 2006-12-31), 10-K (reporting date: 2005-12-31).


Comparison to Sector (Media & Entertainment)


Comparison to Industry (Communication Services)