Price to Earnings (P/E)
since 2005
Calculation
Alphabet Inc., P/E, long-term trends, calculation
| P/E | = | Share price1, 2, 3 | ÷ | Earnings per share1 (EPS) | EPS1 | = | Net income available to all stockholders1 (in millions) | ÷ | No. shares of common stock outstanding2 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|
| Feb 5, 2025 | 23.54 | = | 193.30 | ÷ | 8.21 | 8.21 | = | 100,118 | ÷ | 12,190,000,000 | |
| Jan 31, 2024 | 23.89 | = | 141.80 | ÷ | 5.94 | 5.94 | = | 73,795 | ÷ | 12,433,000,000 | |
| Feb 3, 2023 | 22.47 | = | 105.22 | ÷ | 4.68 | 4.68 | = | 59,972 | ÷ | 12,807,000,000 | |
| Feb 2, 2022 | 25.74 | = | 148.04 | ÷ | 5.75 | 5.75 | = | 76,033 | ÷ | 13,219,426,420 | |
| Feb 3, 2021 | 34.65 | = | 103.50 | ÷ | 2.99 | 2.99 | = | 40,269 | ÷ | 13,482,733,300 | |
| Feb 4, 2020 | 28.96 | = | 72.35 | ÷ | 2.50 | 2.50 | = | 34,343 | ÷ | 13,745,721,800 | |
| Feb 5, 2019 | 25.92 | = | 57.30 | ÷ | 2.21 | 2.21 | = | 30,736 | ÷ | 13,903,727,920 | |
| Feb 6, 2018 | 59.34 | = | 54.03 | ÷ | 0.91 | 0.91 | = | 12,662 | ÷ | 13,905,950,600 | |
| Feb 3, 2017 | 28.45 | = | 40.07 | ÷ | 1.41 | 1.41 | = | 19,478 | ÷ | 13,828,406,540 | |
| Feb 11, 2016 | 29.71 | = | 34.16 | ÷ | 1.15 | 1.15 | = | 15,826 | ÷ | 13,766,395,340 | |
| Feb 9, 2015 | 24.87 | = | 26.39 | ÷ | 1.06 | 1.06 | = | 14,444 | ÷ | 13,612,455,640 | |
| Feb 12, 2014 | 30.87 | = | 29.67 | ÷ | 0.96 | 0.96 | = | 12,920 | ÷ | 13,442,033,240 | |
| Jan 29, 2013 | 23.14 | = | 18.84 | ÷ | 0.81 | 0.81 | = | 10,737 | ÷ | 13,186,528,480 | |
| Jan 26, 2012 | 18.97 | = | 14.20 | ÷ | 0.75 | 0.75 | = | 9,737 | ÷ | 13,005,453,200 | |
| Feb 11, 2011 | 23.60 | = | 15.61 | ÷ | 0.66 | 0.66 | = | 8,505 | ÷ | 12,860,884,200 | |
| Feb 12, 2010 | 26.00 | = | 13.33 | ÷ | 0.51 | 0.51 | = | 6,520 | ÷ | 12,719,171,640 | |
| Feb 13, 2009 | 26.67 | = | 8.94 | ÷ | 0.34 | 0.34 | = | 4,227 | ÷ | 12,611,748,280 | |
| Feb 15, 2008 | 39.48 | = | 13.24 | ÷ | 0.34 | 0.34 | = | 4,204 | ÷ | 12,535,155,520 | |
| Mar 1, 2007 | 45.31 | = | 11.21 | ÷ | 0.25 | 0.25 | = | 3,077 | ÷ | 12,438,287,920 | |
| Mar 16, 2006 | 68.72 | = | 8.47 | ÷ | 0.12 | 0.12 | = | 1,465 | ÷ | 11,889,489,000 |
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.
- Share Price Trends
- The share price demonstrated a general upward trajectory from 2006 to 2025, rising from $8.47 to $193.30. Notable increases include the jump from $29.67 in early 2014 to $54.03 in early 2018, and another significant rise from $72.35 in 2020 to $148.04 in 2022. Despite fluctuations, including a dip from $148.04 in 2022 to $105.22 in 2023, the overall long-term trend reflects substantial capital appreciation.
- Earnings per Share (EPS) Development
- The EPS showed steady growth across the periods analyzed. Starting at $0.12 in 2006, it gradually increased with minor interruptions, reaching $8.21 by early 2025. There were some irregularities, such as a dip to $0.91 in 2018 following consistent increases to $1.41 in 2017. The growth from 2.99 in 2021 to 5.75 in 2022 is notable, followed by a slight decrease and subsequent recovery. The strong EPS growth supports the company's profitability expansion over time.
- Price-to-Earnings (P/E) Ratio Analysis
- The P/E ratio exhibited significant volatility, ranging from a high of 68.72 in 2006 to lows around 18.97 in 2012, indicating varying market sentiment and valuation perceptions. Peaks occurred in 2018 with a ratio of 59.34, suggesting potentially overvalued share prices relative to earnings at that time. More recent years show stabilization in the mid-20s range, with values around 23.54 in 2025, indicating a market adjustment to earnings gains.
- Overall Financial Insights
- The data reflects a company with strong earnings expansion corroborated by substantial increases in share price over nearly two decades. Fluctuations in P/E ratios suggest phases of market adjustment, oscillating between high investor optimism and more conservative valuations. The general trend of rising EPS alongside increasing share prices, with some short-term volatility, points to improving operational performance and investor confidence over the reviewed periods.
Comparison to Competitors
Alphabet Inc., P/E, long-term trends, comparison to competitors
| Alphabet Inc. | Comcast Corp. | Meta Platforms Inc. | Netflix Inc. | Trade Desk Inc. | Walt Disney Co. | |
|---|---|---|---|---|---|---|
| Feb 5, 2025 | 23.54 | 7.86 | 27.91 | 47.72 | 90.94 | 39.74 |
| Jan 31, 2024 | 23.89 | 12.01 | 30.97 | 45.64 | 206.87 | 73.44 |
| Feb 3, 2023 | 22.47 | 31.38 | 21.10 | 36.18 | 609.53 | 54.90 |
| Feb 2, 2022 | 25.74 | 16.01 | 16.44 | 33.56 | 284.75 | 137.89 |
| Feb 3, 2021 | 34.65 | 22.37 | 25.89 | 86.39 | 176.64 | — |
| Feb 4, 2020 | 28.96 | 15.39 | 32.31 | 80.67 | 120.88 | 23.96 |
| Feb 5, 2019 | 25.92 | 14.11 | 21.51 | 118.55 | 98.86 | 13.36 |
| Feb 6, 2018 | 59.34 | 8.70 | 35.20 | 220.96 | 46.38 | 17.28 |
| Feb 3, 2017 | 28.45 | 20.56 | 37.05 | 328.55 | — | 16.65 |
| Feb 11, 2016 | 29.71 | 17.78 | 84.21 | 329.51 | — | 23.41 |
| Feb 9, 2015 | 24.87 | 18.01 | 74.26 | 100.63 | — | 20.31 |
| Feb 12, 2014 | 30.87 | 21.12 | 106.36 | 215.28 | — | 19.83 |
| Jan 29, 2013 | 23.14 | 17.05 | 1,336.24 | 537.02 | — | 15.18 |
| Jan 26, 2012 | 18.97 | 19.40 | — | 30.37 | — | 12.48 |
| Feb 11, 2011 | 23.60 | 19.29 | — | 77.34 | — | 17.62 |
| Feb 12, 2010 | 26.00 | 12.59 | — | 30.08 | — | 17.36 |
| Feb 13, 2009 | 26.67 | 14.52 | — | 25.23 | — | 7.83 |
| Feb 15, 2008 | 39.48 | 23.46 | — | 28.79 | — | 12.79 |
| Mar 1, 2007 | 45.31 | 32.61 | — | 31.36 | — | 20.22 |
| Mar 16, 2006 | 68.72 | 61.12 | — | 33.20 | — | 19.49 |
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)
Alphabet Inc., P/E, long-term trends, comparison to sector (media & entertainment)
| Alphabet Inc. | Media & Entertainment | |
|---|---|---|
| Feb 5, 2025 | 23.54 | 25.28 |
| Jan 31, 2024 | 23.89 | 26.54 |
| Feb 3, 2023 | 22.47 | 24.66 |
| Feb 2, 2022 | 25.74 | 24.24 |
| Feb 3, 2021 | 34.65 | 36.67 |
| Feb 4, 2020 | 28.96 | 28.15 |
| Feb 5, 2019 | 25.92 | 22.41 |
| Feb 6, 2018 | 59.34 | 29.41 |
| Feb 3, 2017 | 28.45 | 27.75 |
| Feb 11, 2016 | 29.71 | 32.13 |
| Feb 9, 2015 | 24.87 | 27.07 |
| Feb 12, 2014 | 30.87 | 30.86 |
| Jan 29, 2013 | 23.14 | 22.94 |
| Jan 26, 2012 | 18.97 | 17.55 |
| Feb 11, 2011 | 23.60 | 21.71 |
| Feb 12, 2010 | 26.00 | 20.34 |
| Feb 13, 2009 | 26.67 | 16.53 |
| Feb 15, 2008 | 39.48 | 24.99 |
| Mar 1, 2007 | 45.31 | 32.30 |
| Mar 16, 2006 | 68.72 | 41.90 |
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 Industry (Communication Services)
Alphabet Inc., P/E, long-term trends, comparison to industry (communication services)
| Alphabet Inc. | Communication Services | |
|---|---|---|
| Feb 5, 2025 | 23.54 | 23.64 |
| Jan 31, 2024 | 23.89 | 24.04 |
| Feb 3, 2023 | 22.47 | 25.67 |
| Feb 2, 2022 | 25.74 | 21.27 |
| Feb 3, 2021 | 34.65 | 36.86 |
| Feb 4, 2020 | 28.96 | 24.32 |
| Feb 5, 2019 | 25.92 | 19.52 |
| Feb 6, 2018 | 59.34 | 18.12 |
| Feb 3, 2017 | 28.45 | 24.36 |
| Feb 11, 2016 | 29.71 | 23.89 |
| Feb 9, 2015 | 24.87 | 26.45 |
| Feb 12, 2014 | 30.87 | 21.66 |
| Jan 29, 2013 | 23.14 | 27.51 |
| Jan 26, 2012 | 18.97 | 24.54 |
| Feb 11, 2011 | 23.60 | 16.12 |
| Feb 12, 2010 | 26.00 | 16.95 |
| Feb 13, 2009 | 26.67 | 13.32 |
| Feb 15, 2008 | 39.48 | 20.95 |
| Mar 1, 2007 | 45.31 | 28.07 |
| Mar 16, 2006 | 68.72 | 24.36 |
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).