Alphabet Inc (GOOG) Falls Below Apple (AAPL) as World’s Most Valuable Company

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Alphabet Inc (NASDAQ:GOOG) had finally surpassed Apple (NASDAQ:AAPL) as the world’s most valuable company late last month, leading some to believe that Google would run with the lead and separate from the pack. Now, just a little more than a week later, Apple Inc. has again surpassed Google to take back their lead.

After Alphabet Inc (NASDAQ:GOOG) took a hit today on the open market, falling over 2.5%, and Apple (NASDAQ:AAPL) took just a mild loss, trading down about 0.34%, Apple increased their lead which was established in trading yesterday. Apple now sports a market capital of $532.39 billion, beating out Alphabet Inc by about $45 billion ($486.3 billion market cap). Undoubtedly we haven’t seen the end of this back and forth, but many investors are now beginning to feel as though Apple remains undervalued. If you compare the P/E ratios of both companies, Apple has a P/E of just 10.22, whereas Alphabet Inc. (Google) has one about three times higher at 30.72. Alphabet Inc., however, is considered to have much more growth potential than Apple.

Alphabet Inc (GOOG) stock is down 2.74% or $19.9 today, hitting $707.05 per share. About 3.10M shares traded hands or 23.51% up from the average. GOOG has risen 39.66% since June 30, 2015 and is uptrending. It has outperformed the S&P500 by 46.96%.

From a total of 28 analysts covering Google Inc. (NASDAQ:GOOG) stock, 24 rate it a “Buy”, 0 a “Sell”, and 4 a “Hold”. This means that 86% of the ratings are positive. The highest target price is $910 while the lowest target price is $700. The mean of all analyst targets is $828.67 which is 17.20% above today’s ($707.05) stock price. Google Inc. was the topic of 39 analyst reports since July 21, 2015 according to the firm StockzIntelligence Inc. Needham maintained shares on February 2 with a “Buy” rating. Pivotal Research maintained shares with a”Hold” rating and a $740 target share price in their report from an October 23. Deutsche Bank maintained GOOG stock in a recent report from October 23 with a “Buy” rating. Credit Suisse maintained the rating on October 23. Credit Suisse has a “Outperform” rating and a $850 price target on shares. Finally, Piper Jaffray maintained the stock with a “Overweight” rating in a report they issued on an October 23.

The institutional sentiment decreased to 0.67 in Q2 2015. It’s down 0.53, from 1.2 in 2015Q2. The ratio is negative, as 445 funds sold all their Alphabet Inc shares they owned while 412 reduced their positions. 109 funds bought stakes while 464 increased their total positions. Institutions now own 203.36 million shares which is 12.54% less than the previous share count of 232.53 million in 2015Q2.

Ancient Art L.P. holds 22.07% of its total portfolio in Alphabet Inc, equating to 213,887 shares. Jgp Global Gestao De Recursos Ltda. owns 38,052 shares representing 12.71% of their total US portfolio. Moreover, Cantillon Capital Management Llc has 11.84% of their total portfolio invested in the company, equating to 888,378 shares. The California-based Dalal Street Llc has a total of 11.16% of their portfolio invested in the stock. Glade Brook Capital Partners Llc, a Connecticut-based fund reported 50,799 shares owned.

Since February 25, 2015, the stock had 0 buys, and 30 selling transactions for a total of $391.26 million in net activity. Brin Sergey sold 16,670 shares worth $10.24M. Page Lawrence sold 16,670 shares worth $10.34 million. Doerr L John sold 5,269 shares worth $3.33 million. Drummond David C sold 5,290 shares worth $3.39 million. The insider Mather Ann sold 6,000 shares worth $3.48M.

Alphabet Inc is a collection of Companies. The company has a market cap of $505.86 billion. The Company’s collection include Calico, Google’s health and longevity effort; Nest its connected home business; Fiber, its gigabit internet arm; and its investment divisions such as Google Ventures and Google Capital, and incubator projects, such as Google X. It has 30.85 P/E ratio. These will be managed separately in Alphabet.

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