WallStSmart

Alphabet Inc Class A (GOOGL)vsZillow Group Inc (ZG)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Alphabet Inc Class A generates 15767% more annual revenue ($445.87B vs $2.81B). GOOGL leads profitability with a 54.8% profit margin vs 2.0%. ZG appears more attractively valued with a PEG of 0.92. GOOGL earns a higher WallStSmart Score of 76/100 (B+).

GOOGL

Strong Buy

76

out of 100

Grade: B+

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

ZG

Buy

60

out of 100

Grade: C+

Growth: 8.0Profit: 4.0Value: 6.7Quality: 8.0
Piotroski: 4/9Altman Z: 3.98
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

GOOGLUndervalued (+48.8%)

Margin of Safety

+48.8%

Fair Value

$661.47

Current Price

$338.50

$322.97 discount

UndervaluedFair: $661.47Overvalued
ZGUndervalued (+90.0%)

Margin of Safety

+90.0%

Fair Value

$450.42

Current Price

$33.23

$417.19 discount

UndervaluedFair: $450.42Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

GOOGL6 strengths · Avg: 10.0/10
Market CapQuality
$4.14T10/10

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

ZG6 strengths · Avg: 8.8/10
EPS GrowthGrowth
533.0%10/10

Earnings expanding 533.0% YoY

Altman Z-ScoreHealth
3.9810/10

Safe zone — low bankruptcy risk

Debt/EquityHealth
0.139/10

Conservative balance sheet, low leverage

PEG RatioValuation
0.928/10

Growing faster than its price suggests

Price/BookValuation
1.7x8/10

Reasonable price relative to book value

Revenue GrowthGrowth
17.9%8/10

17.9% revenue growth

Areas to Watch

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

Negative free cash flow — burning cash

ZG4 concerns · Avg: 2.8/10
Return on EquityProfitability
1.4%3/10

ROE of 1.4% — below average capital efficiency

Profit MarginProfitability
2.0%3/10

2.0% margin — thin

Operating MarginProfitability
4.7%3/10

Operating margin of 4.7%

P/E RatioValuation
143.6x2/10

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 54.8% and operating margin at 34.0%. Revenue growth of 24.2% demonstrates continued momentum.

Bull Case : ZG

The strongest argument for ZG centers on EPS Growth, Altman Z-Score, Debt/Equity. Revenue growth of 17.9% demonstrates continued momentum. PEG of 0.92 suggests the stock is reasonably priced for its growth.

Bear Case : GOOGL

The primary concerns for GOOGL are Free Cash Flow.

Bear Case : ZG

The primary concerns for ZG are Return on Equity, Profit Margin, Operating Margin. A P/E of 143.6x leaves little room for execution misses. Thin 2.0% margins leave little buffer for downturns.

Key Dynamics to Monitor

ZG carries more volatility with a beta of 1.98 — expect wider price swings.

GOOGL is growing revenue faster at 24.2% — sustainability is the question.

ZG generates stronger free cash flow (-23M), providing more financial flexibility.

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

Bottom Line

GOOGL scores higher overall (76/100 vs 60/100), backed by strong 54.8% margins and 24.2% revenue growth. ZG offers better value entry with a 90.0% 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

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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