WallStSmart

Alphabet Inc Class C (GOOG)vsIAC Inc. (IAC)

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Smart Verdict

WallStSmart Research — data-driven comparison

Alphabet Inc Class C generates 20081% more annual revenue ($471.10B vs $2.33B). GOOG leads profitability with a 50.0% profit margin vs 1.8%. GOOG appears more attractively valued with a PEG of 0.98. GOOG earns a higher WallStSmart Score of 69/100 (B-).

GOOG

Strong Buy

69

out of 100

Grade: B-

Growth: 6.0Profit: 9.5Value: 8.7Quality: 8.5
Piotroski: 4/9Altman Z: 3.92

IAC

Hold

40

out of 100

Grade: D

Growth: 2.0Profit: 3.5Value: 5.3Quality: 7.5
Piotroski: 4/9Altman Z: 1.57
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

GOOGUndervalued (+43.7%)

Margin of Safety

+43.7%

Fair Value

$500.74

Current Price

$283.93

$216.81 discount

UndervaluedFair: $500.74Overvalued
IACUndervalued (+26.6%)

Margin of Safety

+26.6%

Fair Value

$48.64

Current Price

$44.89

$3.75 discount

UndervaluedFair: $48.64Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

GOOG6 strengths · Avg: 9.8/10
Market CapQuality
$3.42T10/10

Mega-cap, among the largest globally

Return on EquityProfitability
34.8%10/10

Every $100 of equity generates 35 in profit

Profit MarginProfitability
50.0%10/10

Keeps 50 of every $100 in revenue as profit

Operating MarginProfitability
31.8%10/10

Strong operational efficiency at 31.8%

Altman Z-ScoreHealth
3.9210/10

Safe zone — low bankruptcy risk

Debt/EquityHealth
0.219/10

Conservative balance sheet, low leverage

IAC1 strengths · Avg: 10.0/10
Price/BookValuation
0.7x10/10

Reasonable price relative to book value

Areas to Watch

GOOG2 concerns · Avg: 2.0/10
EPS GrowthGrowth
-25.3%2/10

Earnings declined 25.3%

Free Cash FlowQuality
$-9.06B2/10

Negative free cash flow — burning cash

IAC4 concerns · Avg: 3.5/10
P/E RatioValuation
27.5x4/10

Moderate valuation

Altman Z-ScoreHealth
1.574/10

Distress zone — elevated risk

Return on EquityProfitability
2.6%3/10

ROE of 2.6% — below average capital efficiency

Profit MarginProfitability
1.8%3/10

1.8% margin — thin

Comparative Analysis Report

WallStSmart Research

Bull Case : GOOG

The strongest argument for GOOG centers on Market Cap, Return on Equity, Profit Margin. Profitability is solid with margins at 50.0% and operating margin at 31.8%. Revenue growth of 24.7% demonstrates continued momentum.

Bull Case : IAC

The strongest argument for IAC centers on Price/Book.

Bear Case : GOOG

The primary concerns for GOOG are EPS Growth, Free Cash Flow.

Bear Case : IAC

The primary concerns for IAC are P/E Ratio, Altman Z-Score, Return on Equity. Thin 1.8% margins leave little buffer for downturns.

Key Dynamics to Monitor

GOOG profiles as a growth stock while IAC is a value play — different risk/reward profiles.

GOOG carries more volatility with a beta of 1.21 — expect wider price swings.

GOOG is growing revenue faster at 24.7% — sustainability is the question.

IAC generates stronger free cash flow (7M), providing more financial flexibility.

Bottom Line

GOOG scores higher overall (69/100 vs 40/100), backed by strong 50.0% margins and 24.7% revenue growth. IAC offers better value entry with a 26.6% margin of safety. Both earn "Strong Buy" and "Hold" ratings respectively — the choice depends on your investment horizon and risk tolerance.

This analysis is generated from publicly available financial data. Not financial advice.

Alphabet Inc Class C

COMMUNICATION SERVICES · INTERNET CONTENT & INFORMATION · USA

Alphabet Inc. is an American multinational conglomerate headquartered in Mountain View, California. It was created through a restructuring of Google on October 2, 2015, and became the parent company of Google and several former Google subsidiaries. The two co-founders of Google remained as controlling shareholders, board members, and employees at Alphabet. Alphabet is the world's fourth-largest technology company by revenue and one of the world's most valuable companies.

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IAC Inc.

COMMUNICATION SERVICES · INTERNET CONTENT & INFORMATION · USA

IAC / InterActiveCorp is a global Internet and media company. The company is headquartered in New York, New York.

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