Alphabet Return On Asset vs. Profit Margin

    GOOG -- USA Stock  

    USD 1,189  3.82  0.32%

    The Drivers Module shows relationships between Alphabet's most relevant fundamental drivers and provides multiple suggestions of what could possibly affect the performance of Alphabet over time as well as its relative position and ranking within its peers. Please also check Risk vs Return Analysis.

    Alphabet Profit Margin vs. Return On Asset Fundamental Analysis

    Alphabet is rated # 4 in return on asset category among related companies. It is rated # 3 in profit margin category among related companies fabricating about  1.47  of Profit Margin per Return On Asset.
    Return on Asset or ROA shows how effective is the management of the company in generating income from utilizing all of the assets at their disposal. It is a useful ratio to evaluate the performance of different departments of a company as well as to understand management performance over time.
    Alphabet 
    Return on Asset 
     = 
    Net Income 
    Total Assets 
    X
    100 
    =
    9.65 %
    Return on Asset measures overall efficiency of a company in generating profits from its total assets. It is expressed as the percentage of profits earned per dollar of Asset. A low ROA typically means that a company is asset-intensive and therefore will needs more money to continue generating revenue in the future.
    Profit Margin measures overall efficiency of a company and shows its ability to withstand competition as well as defend against adverse conditions such as rising costs, falling prices, decline in sales or management distress. Profit margin tells investors how well the company executes on its overall pricing strategies as well as how effective the company in controlling its costs.
    Alphabet 
    Profit Margin 
     = 
    Net Income 
    Revenue 
    X
    100 
    =
    14.19 %
    In a nutshell, Profit Margin indicator shows the amount of money the company makes from total sales or revenue. It can provide a good insight into companies in the same sector, as well as help to identify trends of a company from year to year.

    Alphabet Profit Margin Comparison

      Profit Margin 
          Alphabet Comparables 
    Alphabet is currently under evaluation in profit margin category among related companies.
      Return On Asset 
          Alphabet Comparables 
    Alphabet is currently under evaluation in return on asset category among related companies.