Google Shouldn’t Be, But Approaches, A Buffett 10x EBT Stock


  • Google (Alphabet) stock is now priced at ~13x FW pretax earnings when adjusted for its cash position.
  • It is essentially viewed by the market as a terminally stagnating business, according to Buffett’s 10x EBT rule.
  • Yet, the reality is the exact opposite in the way I see things.
  • Plenty of strong growth catalysts are afoot to support outsized long-term return potential for Google stock.

Google"s Parent Company Alphabet To Report Quarterly Earnings On Tuesday

Justin Sullivan

The investment thesis

The argument in this article is quite simple: Alphabet Inc. (NASDAQ:GOOG) (“Google”) is undervalued based on the Buffett 10x EBT (earnings before taxes) rule. It is selling at a valuation of around 13x FW EBT only after its


Author based on Seeking Alpha data


Seeking Alpha data


Statcounter data


Dolphin Research


Author and Seeking Alpha data



Disclosure: I/we have no stock, option or similar derivative position in any of the companies mentioned, and no plans to initiate any such positions within the next 72 hours. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it (other than from Seeking Alpha). I have no business relationship with any company whose stock is mentioned in this article.

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