WallStSmart

Alphabet Inc Class A (GOOGL)vsZillow Group Inc Class C (Z)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Alphabet Inc Class A generates 15589% more annual revenue ($422.50B vs $2.69B). GOOGL leads profitability with a 37.9% profit margin vs 2.3%. Z appears more attractively valued with a PEG of 0.93. GOOGL earns a higher WallStSmart Score of 76/100 (B+).

GOOGL

Strong Buy

76

out of 100

Grade: B+

Growth: 8.7Profit: 9.5Value: 7.3Quality: 8.0
Piotroski: 4/9Altman Z: 3.91

Z

Buy

61

out of 100

Grade: C+

Growth: 8.0Profit: 4.5Value: 6.0Quality: 8.5
Piotroski: 4/9Altman Z: 3.98
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

GOOGLUndervalued (+44.3%)

Margin of Safety

+44.3%

Fair Value

$627.31

Current Price

$349.68

$277.63 discount

UndervaluedFair: $627.31Overvalued
ZUndervalued (+26.6%)

Margin of Safety

+26.6%

Fair Value

$62.24

Current Price

$30.31

$31.93 discount

UndervaluedFair: $62.24Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

GOOGL6 strengths · Avg: 10.0/10
Market CapQuality
$4.51T10/10

Mega-cap, among the largest globally

Return on EquityProfitability
33.5%10/10

Every $100 of equity generates 33 in profit

Profit MarginProfitability
37.9%10/10

Keeps 38 of every $100 in revenue as profit

Operating MarginProfitability
36.1%10/10

Strong operational efficiency at 36.1%

EPS GrowthGrowth
82.0%10/10

Earnings expanding 82.0% YoY

Free Cash FlowQuality
$10.12B10/10

Generating 10.1B in free cash flow

Z6 strengths · Avg: 9.3/10
Price/BookValuation
1.5x10/10

Reasonable price relative to book value

EPS GrowthGrowth
533.0%10/10

Earnings expanding 533.0% YoY

Debt/EquityHealth
0.1010/10

Conservative balance sheet, low leverage

Altman Z-ScoreHealth
3.9810/10

Safe zone — low bankruptcy risk

PEG RatioValuation
0.938/10

Growing faster than its price suggests

Revenue GrowthGrowth
18.4%8/10

18.4% revenue growth

Areas to Watch

GOOGL2 concerns · Avg: 4.0/10
P/E RatioValuation
28.2x4/10

Moderate valuation

Price/BookValuation
8.9x4/10

Trading at 8.9x book value

Z3 concerns · Avg: 2.7/10
Return on EquityProfitability
1.4%3/10

ROE of 1.4% — below average capital efficiency

Profit MarginProfitability
2.3%3/10

2.3% margin — thin

P/E RatioValuation
128.1x2/10

Premium valuation, high expectations priced in

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 37.9% and operating margin at 36.1%. Revenue growth of 21.8% demonstrates continued momentum.

Bull Case : Z

The strongest argument for Z centers on Price/Book, EPS Growth, Debt/Equity. Revenue growth of 18.4% demonstrates continued momentum. PEG of 0.93 suggests the stock is reasonably priced for its growth.

Bear Case : GOOGL

The primary concerns for GOOGL are P/E Ratio, Price/Book.

Bear Case : Z

The primary concerns for Z are Return on Equity, Profit Margin, P/E Ratio. A P/E of 128.1x leaves little room for execution misses. Thin 2.3% margins leave little buffer for downturns.

Key Dynamics to Monitor

Z carries more volatility with a beta of 1.94 — expect wider price swings.

GOOGL is growing revenue faster at 21.8% — sustainability is the question.

GOOGL generates stronger free cash flow (10.1B), providing more financial flexibility.

Monitor INTERNET CONTENT & INFORMATION industry trends, competitive dynamics, and regulatory changes.

Bottom Line

GOOGL scores higher overall (76/100 vs 61/100), backed by strong 37.9% margins and 21.8% revenue growth. Z offers better value entry with a 26.6% 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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Zillow Group Inc Class C

COMMUNICATION SERVICES · INTERNET CONTENT & INFORMATION · USA

Zillow Group, Inc., a digital real estate company, operates real estate brands on mobile apps and websites in the United States. The company is headquartered in Seattle, Washington.

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