Wednesday, April 6, 2016

Google Value

What is the total market value of Alphabet, Inc, the parent company of Google?  It is very confusing. I like a simple answer: just multiple number of shares outstanding time the price per share.  With Alphabet, however, there are three classes of shares, A,B and C.  Class A shares have voting rights and have the ticker symbol GOOGL, Class B stock is the same except each share has 10 voting rights and they are privately owned, Class C shares have no voting rights and have the ticker symbol GOOG.  The number of Class B stock is unknown, except I saw the number of 52 million shares here.  The price of Class B stock is also unknown, except for this purpose I will use the same number as Class A stock.  So here is the value I come up with as of today (April 6):

Alphabet Stock Valuation



As of April 6, 2016




Symbol Shares O/S Price/Share Total (M)
Class A GOOGL 292.58 768.07 224,721.92
Class B (Private) 52 768.07 39,939.64
Class C GOOG 345.54 745.69 257,665.72





Total


522,327.28

Now I need to do the same analysis for Berkshire Hathaway and Facebook, whose valuation is also confusing.

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