AMZN vs GOOG: Which Is the Better Buy?

Side-by-side comparison of Amazon.com, Inc. and Alphabet Inc. — fair value, conviction, valuation metrics, and QuantHub research signals. Updated 2026-05-20.
Amazon.com, Inc. · Consumer Cyclical
$259.34
+21.8% upside to fair value
Grade B High Quality
VS
Alphabet Inc. · Communication Services
$339.40
-6.2% upside to fair value
Grade D High Quality
QuantHub Verdict
AMZN has more upside to fair value (+21.8%). AMZN trades at a lower forward P/E (26.5x). These are model outputs — not personalized investment advice. See all research →
Valuation & Fundamentals
Metric AMZN GOOG
Current Price $259.34 $339.40
Fair Value Estimate $316.00 $318.47
Upside to Fair Value +21.8% -6.2%
Market Cap $2,789.8B $4,105.7B
Forward P/E 26.5x 31.2x
EV / EBITDA 16.8x 23.1x
Price / Sales 3.9x 10.3x
Price / FCF 56.4x
Revenue Growth YoY +17.0% +11.3%
Gross Margin 51.8% 59.7%
Operating Margin 13.1% 32.0%
Return on Equity 21.5% 35.0%
Dividend Yield 0% 0%
FCF Yield -0.81% 1.77%
Analyst Consensus Strong Buy Strong Buy
Investment Thesis
AMZN — Amazon.com, Inc.
Amazon delivered a landmark Q1 2026 with revenue of $181.5 billion up 17% year over year and diluted EPS of $2.78 versus the $1.63 consensus, driven by AWS reaccelerating to 28% growth, its fastest pace in fifteen quarters, and a record consolidated operating margin of 13.1%. AWS generated $37.6 billion in revenue at a 37.7% segment operating margin, contributing $14.2 billion in operating income…
GOOG — Alphabet Inc.
Alphabet Inc. operates as a global leader in internet content, advertising, cloud computing, and AI technologies, with dominant market positions in search, browser, and mobile operating systems. The company benefits from a high-quality business model characterized by a durable competitive moat, strong revenue growth of 11.3% year-over-year, and robust profitability with net margins of 32.8%. Desp…
Accumulation Zones
Metric AMZN GOOG
Zone Low $237.00 $238.85
Zone High $268.60 $270.70
In Buy Zone? Yes No
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