WallStSmart

Alphabet Inc Class A (GOOGL)vsAT&T Inc. (T)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Alphabet Inc Class A generates 234% more annual revenue ($422.50B vs $126.53B). GOOGL leads profitability with a 37.9% profit margin vs 16.9%. GOOGL appears more attractively valued with a PEG of 1.57. GOOGL earns a higher WallStSmart Score of 74/100 (B).

GOOGL

Strong Buy

74

out of 100

Grade: B

Growth: 8.7Profit: 9.5Value: 6.0Quality: 8.5
Piotroski: 4/9Altman Z: 3.91

T

Buy

64

out of 100

Grade: C+

Growth: 3.3Profit: 7.5Value: 7.3Quality: 5.0
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

GOOGLUndervalued (+38.7%)

Margin of Safety

+38.7%

Fair Value

$649.51

Current Price

$400.80

$248.71 discount

UndervaluedFair: $649.51Overvalued
TUndervalued (+21.5%)

Margin of Safety

+21.5%

Fair Value

$32.17

Current Price

$25.16

$7.01 discount

UndervaluedFair: $32.17Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

GOOGL6 strengths · Avg: 10.0/10
Market CapQuality
$4.82T10/10

Mega-cap, among the largest globally

Return on EquityProfitability
38.9%10/10

Every $100 of equity generates 39 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

T5 strengths · Avg: 8.6/10
P/E RatioValuation
8.3x10/10

Attractively priced relative to earnings

Market CapQuality
$175.52B9/10

Large-cap with strong market position

Price/BookValuation
1.6x8/10

Reasonable price relative to book value

Operating MarginProfitability
22.7%8/10

Strong operational efficiency at 22.7%

Free Cash FlowQuality
$2.68B8/10

Generating 2.7B in free cash flow

Areas to Watch

GOOGL3 concerns · Avg: 4.0/10
PEG RatioValuation
1.574/10

Expensive relative to growth rate

P/E RatioValuation
30.4x4/10

Premium valuation, high expectations priced in

Price/BookValuation
11.7x4/10

Trading at 11.7x book value

T3 concerns · Avg: 3.3/10
PEG RatioValuation
1.814/10

Expensive relative to growth rate

Revenue GrowthGrowth
2.9%4/10

2.9% revenue growth

EPS GrowthGrowth
-11.3%2/10

Earnings declined 11.3%

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 : T

The strongest argument for T centers on P/E Ratio, Market Cap, Price/Book. Profitability is solid with margins at 16.9% and operating margin at 22.7%.

Bear Case : GOOGL

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

Bear Case : T

The primary concerns for T are PEG Ratio, Revenue Growth, EPS Growth.

Key Dynamics to Monitor

GOOGL profiles as a growth stock while T is a value play — different risk/reward profiles.

GOOGL carries more volatility with a beta of 1.27 — 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.

Bottom Line

GOOGL scores higher overall (74/100 vs 64/100), backed by strong 37.9% margins and 21.8% revenue growth. T offers better value entry with a 21.5% 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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AT&T Inc.

COMMUNICATION SERVICES · TELECOM SERVICES · USA

AT&T Inc. is an American multinational conglomerate holding company, Delaware-registered but headquartered at Whitacre Tower in Downtown Dallas, Texas. It is the world largest telecommunications company, and the second largest provider of mobile telephone services.

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