Why Alphabet Is Even Cheaper Than You Think
Whether you think Alphabet's (NASDAQ: GOOGL)(NASDAQ: GOOG) stock is expensive or cheap, it is much cheaper than you probably think.
Here's why: it has a ton of cash on its balance sheet, its moonshot businesses in the Other Bets segment are losing billions (but that won't last forever), and several of its big growth businesses have huge long-term potential but appear to be barely contributing profits today.
Alphabet has an enormously cash-rich balance sheet with very little debt. As of the end of last year, Alphabet had $18 billion of cash and cash equivalents, $101 billion of marketable securities, and $13 billion of non-marketable investments on its balance sheet. That's almost $133 billion of cash and investments. Looking at the company's liabilities, there is less than $5 billion of long-term debt on the books.
Source Fool.com
