Yahoo Finance Here's Why Alphabet (GOOGL) is a Strong Growth Stock
For new and old investors, taking full advantage of the stock market and investing with confidence are common goals.
Achieving those goals is made easier with the Zacks Style Scores, a unique set of guidelines that rates stocks based on popular investing methodologies, namely value, growth, and momentum. The Style Scores can help you narrow down which stocks are better for your portfolio and which ones can beat the market over the long-term.
Why This 1 Growth Stock Should Be On Your Watchlist
For growth investors, a company's financial strength, overall health, and future outlook take precedence, so they'll want to zero in on the Growth Style Score. This Score examines things like projected and historical earnings, sales, and cash flow to find stocks that will generate sustainable growth over time.
Alphabet (GOOGL)
Alphabet is one of the most innovative companies in the modern technological age. Over the last few years, the company has evolved from primarily being a search-engine provider to cloud computing, ad-based video and music streaming, autonomous vehicles, healthcare providers and others. In the online search arena, Google has a monopoly with more than 94% of the online search volume and market. Over the years, the company has witnessed increase in search queries, resulting from ongoing growth in user adoption and usage, primarily on mobile devices, continued growth in advertiser activity, and improvements in ad formats.
GOOGL sits at a Zacks Rank #1 (Strong Buy), holds a Growth Style Score of B, and has a VGM Score of B. Earnings and sales are forecasted to increase 31.2% and 15.2% year-over-year, respectively.
17 analysts revised their earnings estimate upwards in the last 60 days, and the Zacks Consensus Estimate has increased $0.84 to $7.61 per share for 2024. GOOGL boasts an average earnings surprise of 11.3%.
Alphabet is also cash rich. The company has generated cash flow growth of 15.1%, and is expected to report cash flow expansion of 16.7% in 2024.
With solid fundamentals, a good Zacks Rank, and top-tier Growth and VGM Style Scores, GOOGL should be on investors' short lists.
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Alphabet Inc. (GOOGL) : Free Stock Analysis Report
