Alphabet Inc Class C (GOOG)vsNetEase Inc (NTES)
GOOG
Alphabet Inc Class C
$365.76
+0.45%
COMMUNICATION SERVICES · Cap: $4.34T
NTES
NetEase Inc
$119.48
-2.65%
COMMUNICATION SERVICES · Cap: $77.35B
Smart Verdict
WallStSmart Research — data-driven comparison
Alphabet Inc Class C generates 269% more annual revenue ($422.50B vs $114.39B). GOOG leads profitability with a 37.9% profit margin vs 29.8%. NTES appears more attractively valued with a PEG of 1.28. GOOG earns a higher WallStSmart Score of 75/100 (B).
GOOG
Strong Buy75
out of 100
Grade: B
NTES
Strong Buy69
out of 100
Grade: B-
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
+0.9%
Fair Value
$369.04
Current Price
$365.76
$3.28 discount
Margin of Safety
+82.3%
Fair Value
$668.31
Current Price
$119.48
$548.83 discount
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Mega-cap, among the largest globally
Every $100 of equity generates 33 in profit
Keeps 38 of every $100 in revenue as profit
Strong operational efficiency at 36.1%
Earnings expanding 82.0% YoY
Generating 10.1B in free cash flow
Strong operational efficiency at 41.4%
Conservative balance sheet, low leverage
Generating 13.1B in free cash flow
Safe zone — low bankruptcy risk
Large-cap with strong market position
Every $100 of equity generates 21 in profit
Areas to Watch
Moderate valuation
Trading at 9.3x book value
Trading at 15.7x book value
3.1% earnings growth
Comparative Analysis Report
WallStSmart ResearchBull Case : GOOG
The strongest argument for GOOG centers on Market Cap, Return on Equity, Profit Margin. Profitability is solid with margins at 37.9% and operating margin at 36.1%. Revenue growth of 21.8% demonstrates continued momentum.
Bull Case : NTES
The strongest argument for NTES centers on Operating Margin, Debt/Equity, Free Cash Flow. Profitability is solid with margins at 29.8% and operating margin at 41.4%. PEG of 1.28 suggests the stock is reasonably priced for its growth.
Bear Case : GOOG
The primary concerns for GOOG are P/E Ratio, Price/Book.
Bear Case : NTES
The primary concerns for NTES are Price/Book, EPS Growth.
Key Dynamics to Monitor
GOOG profiles as a growth stock while NTES is a mature play — different risk/reward profiles.
GOOG carries more volatility with a beta of 1.27 — expect wider price swings.
GOOG is growing revenue faster at 21.8% — sustainability is the question.
NTES generates stronger free cash flow (13.1B), providing more financial flexibility.
Bottom Line
GOOG scores higher overall (75/100 vs 69/100), backed by strong 37.9% margins and 21.8% revenue growth. NTES offers better value entry with a 82.3% margin of safety. Both earn "Strong Buy" and "Strong Buy" 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.
Visit Website →NetEase Inc
COMMUNICATION SERVICES · ELECTRONIC GAMING & MULTIMEDIA · China
NetEase, Inc. offers online services that focus on gaming, communication, and commerce in the People's Republic of China and internationally. The company is headquartered in Hangzhou, the People's Republic of China.
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