Shared conversation
Google vs. Tesla: A Financial Comparison (Last 8 Quarters, CAGR Analysis)
In-depth financial analysis comparing Google (GOOGL) and Tesla (TSLA) over the last 8 quarters, including revenue, net income, free cash flow, P/E ratio, and 3, 5, and 10-year CAGR.
Read the conversation below. Open the interactive view for charts, attachments, and continuing this conversation.
Aurora
Hello. Would you like to create a new algorithmic trading strategy?
User
Compare the last 8 quarters of Tesla with Google. Then, go through the 3-year, 5-year- and 10-year CAGR. Go through the pros and cons of both stocks, and include valuation metrics like P/E ratio
Aurora
Of course. Here is a fundamental comparison of Google (Alphabet) and Tesla, based on the data you provided.
This analysis breaks down their recent performance over the last eight quarters, their current valuation, and their long-term growth rates.
High-Level Comparison: Growth vs. Valuation
Here’s a snapshot comparing the two companies on key long-term growth and valuation metrics.
| Metric | GOOGL | TSLA |
|---|---|---|
| P/E Ratio (TTM) | 20.11 | 159.80 |
| 3-Year Revenue CAGR | 10.75% | 21.98% |
| 5-Year Revenue CAGR | 16.68% | 31.78% |
| 10-Year Revenue CAGR | 18.16% | 40.76% |
| 3-Year Net Income CAGR | 9.61% | 8.10% |
| 5-Year Net Income CAGR | 23.86% | N/A |
| 10-Year Net Income CAGR | 21.62% | N/A |
| 3-Year FCF CAGR | 2.78% | 0.93% |
| 5-Year FCF CAGR | 18.63% | 29.90% |
| 10-Year FCF CAGR | 20.35% | N/A |
Quarterly Financial Performance
Here is the detailed quarterly data for both companies over the last two years.
Google (GOOGL) Quarterly Results
| Report Date | Total Revenue (USD) | Net Income (USD) | Free Cash Flow (USD) |
|---|---|---|---|
| 2025-04-25 | $90,234,000,000 | $34,540,000,000 | $18,953,000,000 |
| 2025-02-05 | $96,469,000,000 | $26,536,000,000 | $24,837,000,000 |
| 2024-10-30 | $88,268,000,000 | $26,301,000,000 | $17,637,000,000 |
| 2024-07-24 | $84,742,000,000 | $23,619,000,000 | $13,454,000,000 |
| 2024-04-26 | $80,539,000,000 | $23,662,000,000 | $16,836,000,000 |
| 2024-01-31 | $86,310,000,000 | $20,687,000,000 | $7,896,000,000 |
| 2023-10-25 | $76,693,000,000 | $19,689,000,000 | $22,601,000,000 |
| 2023-07-26 | $74,604,000,000 | $18,368,000,000 | $21,778,000,000 |
Tesla (TSLA) Quarterly Results
| Report Date | Total Revenue (USD) | Net Income (USD) | Free Cash Flow (USD) |
|---|---|---|---|
| 2025-04-23 | $19,335,000,000 | $409,000,000 | $664,000,000 |
| 2025-01-30 | $25,707,000,000 | $2,356,000,000 | $2,034,000,000 |
| 2024-10-24 | $25,182,000,000 | $2,167,000,000 | $2,742,000,000 |
| 2024-07-24 | $25,500,000,000 | $1,478,000,000 | $1,340,000,000 |
| 2024-04-24 | $21,301,000,000 | $1,129,000,000 | -$2,535,000,000 |
| 2024-01-29 | $25,167,000,000 | $7,930,000,000 | $2,063,000,000 |
| 2023-10-23 | $23,350,000,000 | $1,853,000,000 | $849,000,000 |
| 2023-07-24 | $24,927,000,000 | $2,703,000,000 | $1,005,000,000 |
Summary and Observations
Here are my thoughts on this comparison:
Pros:
- Google's Stability: Google demonstrates immense and consistent profitability. Its revenue, net income, and free cash flow are substantial and have grown steadily over the long term, reflected in its strong 10-year CAGR across all metrics.
- Tesla's Hyper-Growth: Tesla's historical growth is phenomenal, with a 10-year revenue CAGR of over 40%. This showcases its disruptive impact and rapid expansion over the last decade.
- Clear Valuation Difference: The data presents a classic "value vs. growth" scenario. Google trades at a modest P/E ratio of ~20, typical for a mature tech giant, while Tesla's P/E of ~160 indicates that the market has extremely high expectations for its future growth.
Cons:
- Slowing Growth: Both companies show a recent slowdown. Google's 3-year growth rates are lower than its 5 and 10-year averages. Tesla's slowdown is more pronounced, with its most recent quarter showing a significant drop in revenue and net income compared to prior quarters.
- Tesla's Cash Flow Volatility: Tesla's free cash flow can be inconsistent. It even reported negative free cash flow of -$2.5 billion in the quarter ending April 2024, which can be a concern for investors who prioritize stability.
Unusual Observations:
- Missing CAGR Data for Tesla: Tesla has
N/Avalues for its 5 and 10-year Net Income and 10-year Free Cash Flow CAGRs. This is because the company was not consistently profitable or cash-flow positive in those earlier periods. The query was designed to avoid calculating growth from a negative number, and this result correctly reflects Tesla's journey from an unprofitable startup to a profitable company. - Valuation Disparity: The most striking difference is the P/E ratio. At nearly 160, Tesla's valuation is 8 times higher than Google's. This suggests investors are betting heavily on Tesla's future dominance in EVs, AI, and robotics, despite its recent financial slowdown.
Important Note
Please remember that this analysis is generated by an AI based on the data provided. Financial markets are complex and dynamic. Always double-check this information and consult with a qualified financial advisor before making any investment decisions.