Stock Analysis on Net

Alphabet Inc. (NASDAQ:GOOG)

Analysis of Solvency Ratios

Microsoft Excel

Solvency Ratios (Summary)

Alphabet Inc., solvency ratios

Microsoft Excel
Dec 31, 2023 Dec 31, 2022 Dec 31, 2021 Dec 31, 2020 Dec 31, 2019
Debt Ratios
Debt to equity 0.05 0.06 0.06 0.07 0.02
Debt to equity (including operating lease liability) 0.11 0.12 0.11 0.13 0.08
Debt to capital 0.05 0.06 0.06 0.06 0.02
Debt to capital (including operating lease liability) 0.10 0.10 0.10 0.11 0.07
Debt to assets 0.04 0.04 0.04 0.05 0.02
Debt to assets (including operating lease liability) 0.07 0.08 0.08 0.09 0.06
Financial leverage 1.42 1.43 1.43 1.44 1.37
Coverage Ratios
Interest coverage 279.30 200.80 263.24 357.16 397.25
Fixed charge coverage 18.67 18.42 25.06 16.92 17.10

Based on: 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).

Solvency ratio Description The company
Debt to equity ratio A solvency ratio calculated as total debt divided by total shareholders’ equity. Alphabet Inc. debt to equity ratio improved from 2021 to 2022 and from 2022 to 2023.
Debt to equity ratio (including operating lease liability) A solvency ratio calculated as total debt (including operating lease liability) divided by total shareholders’ equity. Alphabet Inc. debt to equity ratio (including operating lease liability) deteriorated from 2021 to 2022 but then improved from 2022 to 2023 exceeding 2021 level.
Debt to capital ratio A solvency ratio calculated as total debt divided by total debt plus shareholders’ equity. Alphabet Inc. debt to capital ratio improved from 2021 to 2022 and from 2022 to 2023.
Debt to capital ratio (including operating lease liability) A solvency ratio calculated as total debt (including operating lease liability) divided by total debt (including operating lease liability) plus shareholders’ equity. Alphabet Inc. debt to capital ratio (including operating lease liability) deteriorated from 2021 to 2022 but then improved from 2022 to 2023 exceeding 2021 level.
Debt to assets ratio A solvency ratio calculated as total debt divided by total assets. Alphabet Inc. debt to assets ratio improved from 2021 to 2022 and from 2022 to 2023.
Debt to assets ratio (including operating lease liability) A solvency ratio calculated as total debt (including operating lease liability) divided by total assets. Alphabet Inc. debt to assets ratio (including operating lease liability) deteriorated from 2021 to 2022 but then improved from 2022 to 2023 exceeding 2021 level.
Financial leverage ratio A solvency ratio calculated as total assets divided by total shareholders’ equity. Alphabet Inc. financial leverage ratio decreased from 2021 to 2022 and from 2022 to 2023.

Solvency ratio Description The company
Interest coverage ratio A solvency ratio calculated as EBIT divided by interest payments. Alphabet Inc. interest coverage ratio deteriorated from 2021 to 2022 but then improved from 2022 to 2023 exceeding 2021 level.
Fixed charge coverage ratio A solvency ratio calculated as earnings before fixed charges and tax divided by fixed charges. Alphabet Inc. fixed charge coverage ratio deteriorated from 2021 to 2022 but then slightly improved from 2022 to 2023.

Debt to Equity

Alphabet Inc., debt to equity calculation, comparison to benchmarks

Microsoft Excel
Dec 31, 2023 Dec 31, 2022 Dec 31, 2021 Dec 31, 2020 Dec 31, 2019
Selected Financial Data (US$ in millions)
Current portion of long-term notes 1,000 999
Current portion of future finance lease payments, net and other current debt 363 298 113 101 115
Long-term debt, excluding current portion 13,253 14,701 14,817 13,932 4,554
Total debt 14,616 14,999 14,930 15,032 4,669
 
Stockholders’ equity 283,379 256,144 251,635 222,544 201,442
Solvency Ratio
Debt to equity1 0.05 0.06 0.06 0.07 0.02
Benchmarks
Debt to Equity, Competitors2
Charter Communications Inc. 8.82 10.70 6.52 3.48 2.51
Comcast Corp. 1.17 1.17 0.99 1.15 1.24
Meta Platforms Inc. 0.12 0.08 0.00 0.00 0.00
Netflix Inc. 0.71 0.69 0.97 1.47 1.95
Walt Disney Co. 0.47 0.51 0.62 0.71 0.53
Debt to Equity, Sector
Media & Entertainment 0.45 0.48 0.46 0.50 0.48
Debt to Equity, Industry
Communication Services 0.72 0.76 0.75 0.75 0.70

Based on: 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).

1 2023 Calculation
Debt to equity = Total debt ÷ Stockholders’ equity
= 14,616 ÷ 283,379 = 0.05

2 Click competitor name to see calculations.

Solvency ratio Description The company
Debt to equity ratio A solvency ratio calculated as total debt divided by total shareholders’ equity. Alphabet Inc. debt to equity ratio improved from 2021 to 2022 and from 2022 to 2023.

Debt to Equity (including Operating Lease Liability)

Alphabet Inc., debt to equity (including operating lease liability) calculation, comparison to benchmarks

Microsoft Excel
Dec 31, 2023 Dec 31, 2022 Dec 31, 2021 Dec 31, 2020 Dec 31, 2019
Selected Financial Data (US$ in millions)
Current portion of long-term notes 1,000 999
Current portion of future finance lease payments, net and other current debt 363 298 113 101 115
Long-term debt, excluding current portion 13,253 14,701 14,817 13,932 4,554
Total debt 14,616 14,999 14,930 15,032 4,669
Current operating lease liabilities 2,791 2,477 2,189 1,694 1,199
Long-term operating lease liabilities 12,460 12,501 11,389 11,146 10,214
Total debt (including operating lease liability) 29,867 29,977 28,508 27,872 16,082
 
Stockholders’ equity 283,379 256,144 251,635 222,544 201,442
Solvency Ratio
Debt to equity (including operating lease liability)1 0.11 0.12 0.11 0.13 0.08
Benchmarks
Debt to Equity (including Operating Lease Liability), Competitors2
Charter Communications Inc. 8.95 10.85 6.62 3.53 2.55
Comcast Corp. 1.25 1.26 1.06 1.20 1.29
Meta Platforms Inc. 0.25 0.22 0.12 0.09 0.11
Netflix Inc. 0.82 0.81 1.14 1.67 2.16
Walt Disney Co. 0.51 0.55 0.66 0.75 0.53
Debt to Equity (including Operating Lease Liability), Sector
Media & Entertainment 0.52 0.56 0.53 0.56 0.54
Debt to Equity (including Operating Lease Liability), Industry
Communication Services 0.86 0.91 0.88 0.88 0.81

Based on: 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).

1 2023 Calculation
Debt to equity (including operating lease liability) = Total debt (including operating lease liability) ÷ Stockholders’ equity
= 29,867 ÷ 283,379 = 0.11

2 Click competitor name to see calculations.

Solvency ratio Description The company
Debt to equity ratio (including operating lease liability) A solvency ratio calculated as total debt (including operating lease liability) divided by total shareholders’ equity. Alphabet Inc. debt to equity ratio (including operating lease liability) deteriorated from 2021 to 2022 but then improved from 2022 to 2023 exceeding 2021 level.

Debt to Capital

Alphabet Inc., debt to capital calculation, comparison to benchmarks

Microsoft Excel
Dec 31, 2023 Dec 31, 2022 Dec 31, 2021 Dec 31, 2020 Dec 31, 2019
Selected Financial Data (US$ in millions)
Current portion of long-term notes 1,000 999
Current portion of future finance lease payments, net and other current debt 363 298 113 101 115
Long-term debt, excluding current portion 13,253 14,701 14,817 13,932 4,554
Total debt 14,616 14,999 14,930 15,032 4,669
Stockholders’ equity 283,379 256,144 251,635 222,544 201,442
Total capital 297,995 271,143 266,565 237,576 206,111
Solvency Ratio
Debt to capital1 0.05 0.06 0.06 0.06 0.02
Benchmarks
Debt to Capital, Competitors2
Charter Communications Inc. 0.90 0.91 0.87 0.78 0.72
Comcast Corp. 0.54 0.54 0.50 0.53 0.55
Meta Platforms Inc. 0.11 0.08 0.00 0.00 0.00
Netflix Inc. 0.41 0.41 0.49 0.60 0.66
Walt Disney Co. 0.32 0.34 0.38 0.41 0.35
Debt to Capital, Sector
Media & Entertainment 0.31 0.32 0.32 0.33 0.33
Debt to Capital, Industry
Communication Services 0.42 0.43 0.43 0.43 0.41

Based on: 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).

1 2023 Calculation
Debt to capital = Total debt ÷ Total capital
= 14,616 ÷ 297,995 = 0.05

2 Click competitor name to see calculations.

Solvency ratio Description The company
Debt to capital ratio A solvency ratio calculated as total debt divided by total debt plus shareholders’ equity. Alphabet Inc. debt to capital ratio improved from 2021 to 2022 and from 2022 to 2023.

Debt to Capital (including Operating Lease Liability)

Alphabet Inc., debt to capital (including operating lease liability) calculation, comparison to benchmarks

Microsoft Excel
Dec 31, 2023 Dec 31, 2022 Dec 31, 2021 Dec 31, 2020 Dec 31, 2019
Selected Financial Data (US$ in millions)
Current portion of long-term notes 1,000 999
Current portion of future finance lease payments, net and other current debt 363 298 113 101 115
Long-term debt, excluding current portion 13,253 14,701 14,817 13,932 4,554
Total debt 14,616 14,999 14,930 15,032 4,669
Current operating lease liabilities 2,791 2,477 2,189 1,694 1,199
Long-term operating lease liabilities 12,460 12,501 11,389 11,146 10,214
Total debt (including operating lease liability) 29,867 29,977 28,508 27,872 16,082
Stockholders’ equity 283,379 256,144 251,635 222,544 201,442
Total capital (including operating lease liability) 313,246 286,121 280,143 250,416 217,524
Solvency Ratio
Debt to capital (including operating lease liability)1 0.10 0.10 0.10 0.11 0.07
Benchmarks
Debt to Capital (including Operating Lease Liability), Competitors2
Charter Communications Inc. 0.90 0.92 0.87 0.78 0.72
Comcast Corp. 0.56 0.56 0.52 0.55 0.56
Meta Platforms Inc. 0.20 0.18 0.10 0.08 0.10
Netflix Inc. 0.45 0.45 0.53 0.63 0.68
Walt Disney Co. 0.34 0.35 0.40 0.43 0.35
Debt to Capital (including Operating Lease Liability), Sector
Media & Entertainment 0.34 0.36 0.35 0.36 0.35
Debt to Capital (including Operating Lease Liability), Industry
Communication Services 0.46 0.48 0.47 0.47 0.45

Based on: 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).

1 2023 Calculation
Debt to capital (including operating lease liability) = Total debt (including operating lease liability) ÷ Total capital (including operating lease liability)
= 29,867 ÷ 313,246 = 0.10

2 Click competitor name to see calculations.

Solvency ratio Description The company
Debt to capital ratio (including operating lease liability) A solvency ratio calculated as total debt (including operating lease liability) divided by total debt (including operating lease liability) plus shareholders’ equity. Alphabet Inc. debt to capital ratio (including operating lease liability) deteriorated from 2021 to 2022 but then improved from 2022 to 2023 exceeding 2021 level.

Debt to Assets

Alphabet Inc., debt to assets calculation, comparison to benchmarks

Microsoft Excel
Dec 31, 2023 Dec 31, 2022 Dec 31, 2021 Dec 31, 2020 Dec 31, 2019
Selected Financial Data (US$ in millions)
Current portion of long-term notes 1,000 999
Current portion of future finance lease payments, net and other current debt 363 298 113 101 115
Long-term debt, excluding current portion 13,253 14,701 14,817 13,932 4,554
Total debt 14,616 14,999 14,930 15,032 4,669
 
Total assets 402,392 365,264 359,268 319,616 275,909
Solvency Ratio
Debt to assets1 0.04 0.04 0.04 0.05 0.02
Benchmarks
Debt to Assets, Competitors2
Charter Communications Inc. 0.66 0.68 0.64 0.57 0.53
Comcast Corp. 0.37 0.37 0.34 0.38 0.39
Meta Platforms Inc. 0.08 0.06 0.00 0.00 0.00
Netflix Inc. 0.30 0.30 0.35 0.42 0.43
Walt Disney Co. 0.23 0.24 0.27 0.29 0.24
Debt to Assets, Sector
Media & Entertainment 0.22 0.23 0.23 0.24 0.24
Debt to Assets, Industry
Communication Services 0.29 0.29 0.29 0.29 0.28

Based on: 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).

1 2023 Calculation
Debt to assets = Total debt ÷ Total assets
= 14,616 ÷ 402,392 = 0.04

2 Click competitor name to see calculations.

Solvency ratio Description The company
Debt to assets ratio A solvency ratio calculated as total debt divided by total assets. Alphabet Inc. debt to assets ratio improved from 2021 to 2022 and from 2022 to 2023.

Debt to Assets (including Operating Lease Liability)

Alphabet Inc., debt to assets (including operating lease liability) calculation, comparison to benchmarks

Microsoft Excel
Dec 31, 2023 Dec 31, 2022 Dec 31, 2021 Dec 31, 2020 Dec 31, 2019
Selected Financial Data (US$ in millions)
Current portion of long-term notes 1,000 999
Current portion of future finance lease payments, net and other current debt 363 298 113 101 115
Long-term debt, excluding current portion 13,253 14,701 14,817 13,932 4,554
Total debt 14,616 14,999 14,930 15,032 4,669
Current operating lease liabilities 2,791 2,477 2,189 1,694 1,199
Long-term operating lease liabilities 12,460 12,501 11,389 11,146 10,214
Total debt (including operating lease liability) 29,867 29,977 28,508 27,872 16,082
 
Total assets 402,392 365,264 359,268 319,616 275,909
Solvency Ratio
Debt to assets (including operating lease liability)1 0.07 0.08 0.08 0.09 0.06
Benchmarks
Debt to Assets (including Operating Lease Liability), Competitors2
Charter Communications Inc. 0.67 0.68 0.65 0.58 0.54
Comcast Corp. 0.39 0.39 0.37 0.40 0.41
Meta Platforms Inc. 0.17 0.15 0.09 0.07 0.08
Netflix Inc. 0.35 0.35 0.41 0.47 0.48
Walt Disney Co. 0.25 0.26 0.29 0.31 0.24
Debt to Assets (including Operating Lease Liability), Sector
Media & Entertainment 0.26 0.27 0.26 0.27 0.26
Debt to Assets (including Operating Lease Liability), Industry
Communication Services 0.34 0.35 0.35 0.34 0.32

Based on: 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).

1 2023 Calculation
Debt to assets (including operating lease liability) = Total debt (including operating lease liability) ÷ Total assets
= 29,867 ÷ 402,392 = 0.07

2 Click competitor name to see calculations.

Solvency ratio Description The company
Debt to assets ratio (including operating lease liability) A solvency ratio calculated as total debt (including operating lease liability) divided by total assets. Alphabet Inc. debt to assets ratio (including operating lease liability) deteriorated from 2021 to 2022 but then improved from 2022 to 2023 exceeding 2021 level.

Financial Leverage

Alphabet Inc., financial leverage calculation, comparison to benchmarks

Microsoft Excel
Dec 31, 2023 Dec 31, 2022 Dec 31, 2021 Dec 31, 2020 Dec 31, 2019
Selected Financial Data (US$ in millions)
Total assets 402,392 365,264 359,268 319,616 275,909
Stockholders’ equity 283,379 256,144 251,635 222,544 201,442
Solvency Ratio
Financial leverage1 1.42 1.43 1.43 1.44 1.37
Benchmarks
Financial Leverage, Competitors2
Charter Communications Inc. 13.28 15.85 10.14 6.06 4.71
Comcast Corp. 3.20 3.18 2.87 3.03 3.18
Meta Platforms Inc. 1.50 1.48 1.33 1.24 1.32
Netflix Inc. 2.37 2.34 2.81 3.55 4.48
Walt Disney Co. 2.07 2.14 2.30 2.41 2.18
Financial Leverage, Sector
Media & Entertainment 2.00 2.05 2.02 2.03 2.04
Financial Leverage, Industry
Communication Services 2.52 2.60 2.55 2.55 2.51

Based on: 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).

1 2023 Calculation
Financial leverage = Total assets ÷ Stockholders’ equity
= 402,392 ÷ 283,379 = 1.42

2 Click competitor name to see calculations.

Solvency ratio Description The company
Financial leverage ratio A solvency ratio calculated as total assets divided by total shareholders’ equity. Alphabet Inc. financial leverage ratio decreased from 2021 to 2022 and from 2022 to 2023.

Interest Coverage

Alphabet Inc., interest coverage calculation, comparison to benchmarks

Microsoft Excel
Dec 31, 2023 Dec 31, 2022 Dec 31, 2021 Dec 31, 2020 Dec 31, 2019
Selected Financial Data (US$ in millions)
Net income 73,795 59,972 76,033 40,269 34,343
Add: Income tax expense 11,922 11,356 14,701 7,813 5,282
Add: Interest expense 308 357 346 135 100
Earnings before interest and tax (EBIT) 86,025 71,685 91,080 48,217 39,725
Solvency Ratio
Interest coverage1 279.30 200.80 263.24 357.16 397.25
Benchmarks
Interest Coverage, Competitors2
Charter Communications Inc. 2.32 2.64 2.58 2.12 1.64
Comcast Corp. 6.01 3.38 5.46 4.07 4.72
Meta Platforms Inc. 107.34 164.74 3,153.27 2,371.00 1,241.60
Netflix Inc. 9.87 8.45 8.63 5.17 4.29
Walt Disney Co. 3.42 4.41 2.66 -0.06 12.19
Interest Coverage, Sector
Media & Entertainment 14.50 12.34 16.64 10.19 10.64
Interest Coverage, Industry
Communication Services 8.76 7.40 10.38 5.86 6.92

Based on: 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).

1 2023 Calculation
Interest coverage = EBIT ÷ Interest expense
= 86,025 ÷ 308 = 279.30

2 Click competitor name to see calculations.

Solvency ratio Description The company
Interest coverage ratio A solvency ratio calculated as EBIT divided by interest payments. Alphabet Inc. interest coverage ratio deteriorated from 2021 to 2022 but then improved from 2022 to 2023 exceeding 2021 level.

Fixed Charge Coverage

Alphabet Inc., fixed charge coverage calculation, comparison to benchmarks

Microsoft Excel
Dec 31, 2023 Dec 31, 2022 Dec 31, 2021 Dec 31, 2020 Dec 31, 2019
Selected Financial Data (US$ in millions)
Net income 73,795 59,972 76,033 40,269 34,343
Add: Income tax expense 11,922 11,356 14,701 7,813 5,282
Add: Interest expense 308 357 346 135 100
Earnings before interest and tax (EBIT) 86,025 71,685 91,080 48,217 39,725
Add: Operating lease cost 4,544 3,738 3,425 2,886 2,361
Earnings before fixed charges and tax 90,569 75,423 94,505 51,103 42,086
 
Interest expense 308 357 346 135 100
Operating lease cost 4,544 3,738 3,425 2,886 2,361
Fixed charges 4,852 4,095 3,771 3,021 2,461
Solvency Ratio
Fixed charge coverage1 18.67 18.42 25.06 16.92 17.10
Benchmarks
Fixed Charge Coverage, Competitors2
Charter Communications Inc. 2.20 2.48 2.42 2.00 1.58
Comcast Corp. 4.87 2.82 4.48 3.47 4.00
Meta Platforms Inc. 19.69 15.18 31.41 24.62 22.41
Netflix Inc. 5.64 5.00 5.46 3.65 2.92
Walt Disney Co. 2.71 3.25 2.07 0.32 6.94
Fixed Charge Coverage, Sector
Media & Entertainment 8.62 7.40 10.04 6.57 6.90
Fixed Charge Coverage, Industry
Communication Services 5.03 4.08 5.63 3.58 4.30

Based on: 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).

1 2023 Calculation
Fixed charge coverage = Earnings before fixed charges and tax ÷ Fixed charges
= 90,569 ÷ 4,852 = 18.67

2 Click competitor name to see calculations.

Solvency ratio Description The company
Fixed charge coverage ratio A solvency ratio calculated as earnings before fixed charges and tax divided by fixed charges. Alphabet Inc. fixed charge coverage ratio deteriorated from 2021 to 2022 but then slightly improved from 2022 to 2023.