WallStSmart

Alphabet Inc Class A (GOOGL)vsOmnicom Group Inc (OMC)

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Smart Verdict

WallStSmart Research — data-driven comparison

Alphabet Inc Class A generates 1893% more annual revenue ($445.87B vs $22.37B). GOOGL leads profitability with a 54.8% profit margin vs 1.7%. GOOGL appears more attractively valued with a PEG of 0.97. GOOGL earns a higher WallStSmart Score of 78/100 (B+).

GOOGL

Strong Buy

78

out of 100

Grade: B+

Growth: 8.7Profit: 9.5Value: 8.0Quality: 8.5
Piotroski: 4/9Altman Z: 3.92

OMC

Buy

65

out of 100

Grade: C+

Growth: 8.7Profit: 5.5Value: 4.0Quality: 2.5
Piotroski: 1/9Altman Z: 0.77
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

GOOGLUndervalued (+48.1%)

Margin of Safety

+48.1%

Fair Value

$661.86

Current Price

$345.90

$315.96 discount

UndervaluedFair: $661.86Overvalued
OMCUndervalued (+15.9%)

Margin of Safety

+15.9%

Fair Value

$82.46

Current Price

$87.57

$5.11 discount

UndervaluedFair: $82.46Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

GOOGL6 strengths · Avg: 10.0/10
Market CapQuality
$4.62T10/10

Mega-cap, among the largest globally

Return on EquityProfitability
38.1%10/10

Every $100 of equity generates 38 in profit

Profit MarginProfitability
54.8%10/10

Keeps 55 of every $100 in revenue as profit

Operating MarginProfitability
34.0%10/10

Strong operational efficiency at 34.0%

EPS GrowthGrowth
294.0%10/10

Earnings expanding 294.0% YoY

Altman Z-ScoreHealth
3.9210/10

Safe zone — low bankruptcy risk

OMC3 strengths · Avg: 9.3/10
Revenue GrowthGrowth
63.4%10/10

Revenue surging 63.4% year-over-year

EPS GrowthGrowth
58.8%10/10

Earnings expanding 58.8% YoY

Price/BookValuation
2.5x8/10

Reasonable price relative to book value

Areas to Watch

GOOGL1 concerns · Avg: 2.0/10
Free Cash FlowQuality
$-5.86B2/10

Negative free cash flow — burning cash

OMC4 concerns · Avg: 3.0/10
Return on EquityProfitability
3.9%3/10

ROE of 3.9% — below average capital efficiency

Profit MarginProfitability
1.7%3/10

1.7% margin — thin

Debt/EquityHealth
1.153/10

Elevated debt levels

Piotroski F-ScoreQuality
1/93/10

Weak financial health signals

Comparative Analysis Report

WallStSmart Research

Bull Case : GOOGL

The strongest argument for GOOGL centers on Market Cap, Return on Equity, Profit Margin. Profitability is solid with margins at 54.8% and operating margin at 34.0%. Revenue growth of 24.2% demonstrates continued momentum.

Bull Case : OMC

The strongest argument for OMC centers on Revenue Growth, EPS Growth, Price/Book. Revenue growth of 63.4% demonstrates continued momentum.

Bear Case : GOOGL

The primary concerns for GOOGL are Free Cash Flow.

Bear Case : OMC

The primary concerns for OMC are Return on Equity, Profit Margin, Debt/Equity. A P/E of 236.7x leaves little room for execution misses. Thin 1.7% margins leave little buffer for downturns.

Key Dynamics to Monitor

GOOGL profiles as a growth stock while OMC is a hypergrowth play — different risk/reward profiles.

GOOGL carries more volatility with a beta of 1.24 — expect wider price swings.

OMC is growing revenue faster at 63.4% — sustainability is the question.

OMC generates stronger free cash flow (-433M), providing more financial flexibility.

Bottom Line

GOOGL scores higher overall (78/100 vs 65/100), backed by strong 54.8% margins and 24.2% revenue growth. OMC offers better value entry with a 15.9% margin of safety. Both earn "Strong Buy" and "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 A

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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Omnicom Group Inc

COMMUNICATION SERVICES · ADVERTISING AGENCIES · USA

Omnicom Group Inc. is an American global media, marketing and corporate communications holding company, headquartered in New York City.

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