Alphabet Net Income vs Cost of Revenue Analysis

GOOGL Stock

USD 156.01 0.54 0.35%

Alphabet financial indicator trend analysis is way more than just evaluating Alphabet Class A prevailing accounting drivers to predict future trends. We encourage investors to analyze account correlations over time for multiple indicators to determine whether Alphabet Class A is a good investment. Please check the relationship between Alphabet Net Income and its Cost Of Revenue accounts. Check out Risk vs Return Analysis to better understand how to build diversified portfolios, which includes a position in Alphabet Inc Class A. Also, note that the market value of any company could be tightly coupled with the direction of predictive economic indicators such as signals in price.

Net Income vs Cost Of Revenue

Net Income vs Cost of Revenue Correlation Analysis

The overlapping area represents the amount of trend that can be explained by analyzing historical patterns of Alphabet Class A Net Income account and Cost of Revenue. At this time, the significance of the direction appears to have almost identical trend.

The correlation between Alphabet's Net Income and Cost of Revenue is 0.97. Overlapping area represents the amount of variation of Net Income that can explain the historical movement of Cost of Revenue in the same time period over historical financial statements of Alphabet Inc Class A, assuming nothing else is changed. The correlation between historical values of Alphabet's Net Income and Cost of Revenue is a relative statistical measure of the degree to which these accounts tend to move together. The correlation coefficient measures the extent to which Net Income of Alphabet Inc Class A are associated (or correlated) with its Cost of Revenue. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when Cost of Revenue has no effect on the direction of Net Income i.e., Alphabet's Net Income and Cost of Revenue go up and down completely randomly.

Correlation Coefficient

0.97

Relationship Direction	Positive
Relationship Strength	Very Strong

View All Relationships

Net Income

Net income is one of the most important fundamental items in finance. It plays a large role in Alphabet Class A financial statement analysis. It represents the amount of money remaining after all of Alphabet Inc Class A operating expenses, interest, taxes and preferred stock dividends have been deducted from a company total revenue.

Cost Of Revenue

Cost of Revenue is found on Alphabet Class A income statement and represents the costs associated with goods and services Alphabet provides. Indirect cost, such as salaries, is not included. In other words, cost of revenue is the total cost incurred to obtain a sale. It is more than the traditional cost of goods sold, since it includes specific selling and marketing activities.

Most indicators from Alphabet's fundamental ratios are interrelated and interconnected. However, analyzing fundamental ratios indicators one by one will only give a small insight into Alphabet Class A current financial condition. On the other hand, looking into the entire matrix of fundamental ratios indicators, and analyzing their relationships over time can provide a more complete picture of the company financial strength now and in the future. Check out Risk vs Return Analysis to better understand how to build diversified portfolios, which includes a position in Alphabet Inc Class A. Also, note that the market value of any company could be tightly coupled with the direction of predictive economic indicators such as signals in price.

At this time, Alphabet's Selling General Administrative is quite stable compared to the past year. Sales General And Administrative To Revenue is expected to rise to 0.08 this year, although the value of Tax Provision will most likely fall to about 9.5 B.

	2021	2022	2023	2024 (projected)
Total Operating Expenses	68.0B	81.8B	89.8B	94.3B
Cost Of Revenue	110.9B	126.2B	133.3B	140.0B

Total Operating Expenses Cost Of Revenue

Alphabet fundamental ratios Correlations

	Common Stock Shares Outstanding	Total Assets	Total Stockholder Equity	Other Assets	Other Stockholder Equity	Total Liab	Short Long Term Debt Total	Other Current Liab	Total Current Liabilities	Other Liab	Property Plant And Equipment Net	Current Deferred Revenue	Net Debt	Retained Earnings	Accounts Payable	Cash	Non Current Assets Total	Non Currrent Assets Other	Long Term Debt	Cash And Short Term Investments	Net Receivables	Common Stock Total Equity	Short Term Investments	Non Current Liabilities Total	Other Current Assets	Property Plant And Equipment Gross
Common Stock Shares Outstanding		0.42	0.47	0.17	0.01	0.32	0.21	0.24	0.3	0.5	0.27	0.29	-0.26	0.46	0.39	0.59	0.3	0.26	0.22	0.6	0.34	0.47	0.57	0.35	0.3	0.22
Total Assets	0.42		1.0	0.76	0.69	0.99	0.92	0.96	0.98	0.85	0.98	0.97	0.68	1.0	0.97	0.67	0.98	0.87	0.8	0.76	0.99	0.99	0.74	0.97	0.91	0.93
Total Stockholder Equity	0.47	1.0		0.75	0.67	0.97	0.9	0.94	0.97	0.87	0.97	0.96	0.64	1.0	0.96	0.68	0.97	0.87	0.78	0.78	0.98	0.99	0.76	0.95	0.9	0.92
Other Assets	0.17	0.76	0.75		0.96	0.76	0.75	0.79	0.81	0.47	0.82	0.83	0.59	0.74	0.73	0.4	0.83	0.9	0.46	0.27	0.79	0.8	0.24	0.63	0.88	0.88
Other Stockholder Equity	0.01	0.69	0.67	0.96		0.71	0.74	0.77	0.77	0.33	0.78	0.81	0.69	0.67	0.66	0.27	0.8	0.89	0.44	0.13	0.76	0.73	0.1	0.57	0.87	0.86
Total Liab	0.32	0.99	0.97	0.76	0.71		0.96	0.97	0.99	0.81	0.99	0.98	0.76	0.97	0.97	0.65	0.99	0.88	0.84	0.72	0.99	0.97	0.69	0.98	0.9	0.93
Short Long Term Debt Total	0.21	0.92	0.9	0.75	0.74	0.96		0.96	0.96	0.64	0.95	0.95	0.83	0.89	0.89	0.65	0.95	0.86	0.87	0.6	0.94	0.91	0.57	0.93	0.87	0.9
Other Current Liab	0.24	0.96	0.94	0.79	0.77	0.97	0.96		0.99	0.7	0.98	0.97	0.76	0.94	0.94	0.63	0.98	0.9	0.79	0.61	0.97	0.94	0.58	0.92	0.93	0.95
Total Current Liabilities	0.3	0.98	0.97	0.81	0.77	0.99	0.96	0.99		0.77	1.0	0.99	0.75	0.96	0.97	0.63	1.0	0.92	0.8	0.65	0.99	0.97	0.62	0.95	0.94	0.97
Other Liab	0.5	0.85	0.87	0.47	0.33	0.81	0.64	0.7	0.77		0.78	0.75	0.44	0.87	0.84	0.53	0.77	0.59	0.66	0.87	0.8	0.83	0.89	0.86	0.63	0.69
Property Plant And Equipment Net	0.27	0.98	0.97	0.82	0.78	0.99	0.95	0.98	1.0	0.78		0.98	0.77	0.97	0.96	0.59	1.0	0.91	0.78	0.65	0.99	0.97	0.63	0.94	0.94	0.97
Current Deferred Revenue	0.29	0.97	0.96	0.83	0.81	0.98	0.95	0.97	0.99	0.75	0.98		0.77	0.95	0.94	0.6	0.99	0.92	0.8	0.62	0.99	0.97	0.6	0.93	0.94	0.95
Net Debt	-0.26	0.68	0.64	0.59	0.69	0.76	0.83	0.76	0.75	0.44	0.77	0.77		0.64	0.63	0.18	0.75	0.65	0.71	0.31	0.74	0.64	0.32	0.74	0.66	0.73
Retained Earnings	0.46	1.0	1.0	0.74	0.67	0.97	0.89	0.94	0.96	0.87	0.97	0.95	0.64		0.96	0.67	0.97	0.86	0.78	0.78	0.98	0.99	0.77	0.95	0.9	0.91
Accounts Payable	0.39	0.97	0.96	0.73	0.66	0.97	0.89	0.94	0.97	0.84	0.96	0.94	0.63	0.96		0.65	0.96	0.86	0.72	0.71	0.97	0.96	0.69	0.93	0.89	0.93
Cash	0.59	0.67	0.68	0.4	0.27	0.65	0.65	0.63	0.63	0.53	0.59	0.6	0.18	0.67	0.65		0.61	0.51	0.73	0.78	0.62	0.67	0.7	0.67	0.52	0.49
Non Current Assets Total	0.3	0.98	0.97	0.83	0.8	0.99	0.95	0.98	1.0	0.77	1.0	0.99	0.75	0.97	0.96	0.61		0.93	0.77	0.64	1.0	0.98	0.62	0.93	0.95	0.97
Non Currrent Assets Other	0.26	0.87	0.87	0.9	0.89	0.88	0.86	0.9	0.92	0.59	0.91	0.92	0.65	0.86	0.86	0.51	0.93		0.62	0.41	0.92	0.9	0.37	0.77	0.98	0.96
Long Term Debt	0.22	0.8	0.78	0.46	0.44	0.84	0.87	0.79	0.8	0.66	0.78	0.8	0.71	0.78	0.72	0.73	0.77	0.62		0.77	0.79	0.76	0.74	0.89	0.64	0.66
Cash And Short Term Investments	0.6	0.76	0.78	0.27	0.13	0.72	0.6	0.61	0.65	0.87	0.65	0.62	0.31	0.78	0.71	0.78	0.64	0.41	0.77		0.68	0.73	0.99	0.81	0.47	0.49
Net Receivables	0.34	0.99	0.98	0.79	0.76	0.99	0.94	0.97	0.99	0.8	0.99	0.99	0.74	0.98	0.97	0.62	1.0	0.92	0.79	0.68		0.98	0.66	0.95	0.94	0.96
Common Stock Total Equity	0.47	0.99	0.99	0.8	0.73	0.97	0.91	0.94	0.97	0.83	0.97	0.97	0.64	0.99	0.96	0.67	0.98	0.9	0.76	0.73	0.98		0.7	0.93	0.93	0.94
Short Term Investments	0.57	0.74	0.76	0.24	0.1	0.69	0.57	0.58	0.62	0.89	0.63	0.6	0.32	0.77	0.69	0.7	0.62	0.37	0.74	0.99	0.66	0.7		0.79	0.44	0.47
Non Current Liabilities Total	0.35	0.97	0.95	0.63	0.57	0.98	0.93	0.92	0.95	0.86	0.94	0.93	0.74	0.95	0.93	0.67	0.93	0.77	0.89	0.81	0.95	0.93	0.79		0.8	0.85
Other Current Assets	0.3	0.91	0.9	0.88	0.87	0.9	0.87	0.93	0.94	0.63	0.94	0.94	0.66	0.9	0.89	0.52	0.95	0.98	0.64	0.47	0.94	0.93	0.44	0.8		0.98
Property Plant And Equipment Gross	0.22	0.93	0.92	0.88	0.86	0.93	0.9	0.95	0.97	0.69	0.97	0.95	0.73	0.91	0.93	0.49	0.97	0.96	0.66	0.49	0.96	0.94	0.47	0.85	0.98

Click cells to compare fundamentals

Alphabet Account Relationship Matchups

Alphabet fundamental ratios Accounts

	2019	2020	2021	2022	2023	2024 (projected)
Common Stock Shares Outstanding	14.0B	13.7B	13.6B	13.2B	12.7B	14.1B
Total Assets	275.9B	319.6B	359.3B	365.3B	402.4B	422.5B
Total Stockholder Equity	201.4B	222.5B	251.6B	256.1B	283.4B	297.5B
Other Assets	3.1B	5.0B	1M	11.9B	13.7B	14.3B
Liabilities And Stockholders Equity	275.9B	319.6B	359.3B	365.3B	402.4B	422.5B
Other Stockholder Equity	(1.2B)	633M	(1.6B)	68.2B	76.5B	80.4B
Total Liab	74.5B	97.1B	107.6B	109.1B	119.0B	125.0B
Short Long Term Debt Total	14.8B	25.1B	26.2B	29.7B	28.5B	29.9B
Other Current Liab	36.6B	47.0B	52.7B	57.8B	67.4B	70.8B
Total Current Liabilities	45.2B	56.8B	64.3B	69.3B	81.8B	85.9B
Other Liab	14.5B	15.2B	17.2B	12.6B	14.5B	15.2B
Property Plant And Equipment Net	84.6B	97.0B	110.6B	127.0B	148.4B	155.9B
Current Deferred Revenue	1.9B	2.5B	3.3B	3.9B	4.1B	4.3B
Net Debt	(3.7B)	(1.4B)	5.3B	7.8B	4.5B	4.7B
Retained Earnings	152.1B	163.4B	191.5B	195.6B	211.2B	221.8B
Accounts Payable	5.6B	5.6B	6.0B	5.1B	7.5B	7.9B
Cash	18.5B	26.5B	20.9B	21.9B	24.0B	13.9B
Non Current Assets Total	123.3B	145.3B	171.1B	200.5B	230.9B	242.4B
Non Currrent Assets Other	2.3B	4.0B	5.4B	6.6B	10.1B	10.6B
Long Term Debt	4.0B	13.9B	14.8B	12.9B	11.9B	6.1B
Cash And Short Term Investments	119.7B	136.7B	139.6B	113.8B	110.9B	65.9B
Net Receivables	27.5B	31.4B	40.3B	40.3B	48.0B	50.4B
Common Stock Total Equity	50.6B	58.5B	61.8B	68.2B	78.4B	82.3B
Short Term Investments	101.2B	110.2B	118.7B	91.9B	86.9B	52.1B
Non Current Liabilities Total	29.2B	40.2B	43.4B	39.8B	37.2B	39.1B
Other Current Assets	4.4B	5.5B	7.1B	8.1B	12.7B	13.3B
Property Plant And Equipment Gross	84.6B	97.0B	110.6B	127.0B	215.9B	226.7B
Total Current Assets	152.6B	174.3B	188.1B	164.8B	171.5B	180.1B
Accumulated Other Comprehensive Income	(1.2B)	633M	(1.6B)	(7.6B)	(4.4B)	(4.2B)
Short Term Debt	1.2B	1.7B	2.2B	2.5B	2.8B	2.6B
Intangible Assets	2.0B	1.4B	1.4B	2.1B	2.4B	2.2B
Common Stock	50.6B	58.5B	61.8B	68.2B	76.5B	80.4B
Property Plant Equipment	84.6B	84.7B	97.6B	112.7B	129.6B	136.0B
Good Will	20.6B	21.2B	23.0B	29.0B	29.2B	30.7B
Inventory	999M	728M	1.2B	2.7B	3.1B	3.2B
Net Tangible Assets	178.8B	199.9B	227.3B	225.1B	258.9B	174.2B
Deferred Long Term Liab	1.7B	3.6B	5.3B	514M	591.1M	561.5M
Long Term Investments	13.1B	20.7B	29.5B	30.5B	31.0B	17.7B
Retained Earnings Total Equity	152.1B	163.4B	191.5B	195.6B	224.9B	157.4B

Alphabet Investors Sentiment

The influence of Alphabet's investor sentiment on the probability of its price appreciation or decline could be a good factor in your decision-making process regarding taking a position in Alphabet. The overall investor sentiment generally increases the direction of a stock movement in a one-year investment horizon. However, the impact of investor sentiment on the entire stock market does not have solid backing from leading economists and market statisticians.

Investor biases related to Alphabet's public news can be used to forecast risks associated with an investment in Alphabet. The trend in average sentiment can be used to explain how an investor holding Alphabet can time the market purely based on public headlines and social activities around Alphabet Inc Class A. Please note that most equities that are difficult to arbitrage are affected by market sentiment the most.

Alphabet's market sentiment shows the aggregated news analyzed to detect positive and negative mentions from the text and comments. The data is normalized to provide daily scores for Alphabet's and other traded tickers. The bigger the bubble, the more accurate is the estimated score. Higher bars for a given day show more participation in the average Alphabet's news discussions. The higher the estimated score, the more favorable is the investor's outlook on Alphabet.

Alphabet Implied Volatility

36.61

Alphabet's implied volatility exposes the market's sentiment of Alphabet Inc Class A stock's possible movements over time. However, it does not forecast the overall direction of its price. In a nutshell, if Alphabet's implied volatility is high, the market thinks the stock has potential for high price swings in either direction. On the other hand, the low implied volatility suggests that Alphabet stock will not fluctuate a lot when Alphabet's options are near their expiration.

Some investors attempt to determine whether the market's mood is bullish or bearish by monitoring changes in market sentiment. Unlike more traditional methods such as technical analysis, investor sentiment usually refers to the aggregate attitude towards Alphabet in the overall investment community. So, suppose investors can accurately measure the market's sentiment. In that case, they can use it for their benefit. For example, some tools to gauge market sentiment could be utilized using contrarian indexes, Alphabet's short interest history, or implied volatility extrapolated from Alphabet options trading.

Building efficient market-beating portfolios requires time, education, and a lot of computing power!

The Portfolio Architect is an AI-driven system that provides multiple benefits to our users by leveraging cutting-edge machine learning algorithms, statistical analysis, and predictive modeling to automate the process of asset selection and portfolio construction, saving time and reducing human error for individual and institutional investors.

Try AI Portfolio Architect

When determining whether Alphabet Class A is a strong investment it is important to analyze Alphabet's competitive position within its industry, examining market share, product or service uniqueness, and competitive advantages. Beyond financials and market position, potential investors should also consider broader economic conditions, industry trends, and any regulatory or geopolitical factors that may impact Alphabet's future performance. For an informed investment choice regarding Alphabet Stock, refer to the following important reports:

How To Invest In Alphabet

Details

Is Alphabet Stock a good investment?

Details

What is Alphabet's Net Worth?

Details

Largest Interactive Media & Services Companies

View

Largest Internet Content & Information Companies

View

Check out Risk vs Return Analysis to better understand how to build diversified portfolios, which includes a position in Alphabet Inc Class A. Also, note that the market value of any company could be tightly coupled with the direction of predictive economic indicators such as signals in price.

Note that the Alphabet Class A information on this page should be used as a complementary analysis to other Alphabet's statistical models used to find the right mix of equity instruments to add to your existing portfolios or create a brand new portfolio. You can also try the Commodity Directory module to find actively traded commodities issued by global exchanges.

Complementary Tools for Alphabet Stock analysis

When running Alphabet's price analysis, check to measure Alphabet's market volatility, profitability, liquidity, solvency, efficiency, growth potential, financial leverage, and other vital indicators. We have many different tools that can be utilized to determine how healthy Alphabet is operating at the current time. Most of Alphabet's value examination focuses on studying past and present price action to predict the probability of Alphabet's future price movements. You can analyze the entity against its peers and the financial market as a whole to determine factors that move Alphabet's price. Additionally, you may evaluate how the addition of Alphabet to your portfolios can decrease your overall portfolio volatility.

	FinTech Suite Use AI to screen and filter profitable investment opportunities
	Price Ceiling Movement Calculate and plot Price Ceiling Movement for different equity instruments
	Alpha Finder Use alpha and beta coefficients to find investment opportunities after accounting for the risk
	Idea Breakdown Analyze constituents of all Macroaxis ideas. Macroaxis investment ideas are predefined, sector-focused investing themes
	Equity Search Search for actively traded equities including funds and ETFs from over 30 global markets
	Volatility Analysis Get historical volatility and risk analysis based on latest market data
	Equity Valuation Check real value of public entities based on technical and fundamental data
	Content Syndication Quickly integrate customizable finance content to your own investment portal
	Portfolio Rebalancing Analyze risk-adjusted returns against different time horizons to find asset-allocation targets

Is Alphabet's industry expected to grow? Or is there an opportunity to expand the business' product line in the future? Factors like these will boost the valuation of Alphabet. If investors know Alphabet will grow in the future, the company's valuation will be higher. The financial industry is built on trying to define current growth potential and future valuation accurately. All the valuation information about Alphabet listed above have to be considered, but the key to understanding future value is determining which factors weigh more heavily than others.

Quarterly Earnings Growth

0.56

Earnings Share

5.8

Revenue Per Share

24.338

Quarterly Revenue Growth

0.135

Return On Assets

0.1437

The market value of Alphabet Class A is measured differently than its book value, which is the value of Alphabet that is recorded on the company's balance sheet. Investors also form their own opinion of Alphabet's value that differs from its market value or its book value, called intrinsic value, which is Alphabet's true underlying value. Investors use various methods to calculate intrinsic value and buy a stock when its market value falls below its intrinsic value. Because Alphabet's market value can be influenced by many factors that don't directly affect Alphabet's underlying business (such as a pandemic or basic market pessimism), market value can vary widely from intrinsic value.

Please note, there is a significant difference between Alphabet's value and its price as these two are different measures arrived at by different means. Investors typically determine if Alphabet is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Alphabet's price is the amount at which it trades on the open market and represents the number that a seller and buyer find agreeable to each party.

Macroaxis helps investors of all levels and skills to maximize the upside of all their holdings and minimize the risk associated with market volatility, economic swings, and company-specific events. View terms and conditions

Feedback Blog

Made with optimal in San Francisco

2024 Macroaxis LLC

Alphabet Net Income vs Cost of Revenue Analysis

Net Income vs Cost Of Revenue

Net Income vs Cost of Revenue Correlation Analysis

Correlation Coefficient

Net Income

Cost Of Revenue

Alphabet fundamental ratios Correlations

Alphabet Account Relationship Matchups

High Positive Relationship

High Negative Relationship

Alphabet fundamental ratios Accounts

Alphabet Investors Sentiment

Alphabet Implied Volatility

Building efficient market-beating portfolios requires time, education, and a lot of computing power!

Complementary Tools for Alphabet Stock analysis

COMMON DESTINATIONS

MAIN CATEGORIES

COMPANY

Total Stockholder Equity	+ 1.0	Total Assets
Retained Earnings	+ 1.0	Total Assets
Retained Earnings	+ 1.0	Total Stockholder Equity
Property Plant And Equipment Net	+ 1.0	Total Current Liabilities
Non Current Assets Total	+ 1.0	Total Current Liabilities
Non Current Assets Total	+ 1.0	Property Plant And Equipment Net