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Compare Stocks › GOOGL vs OXY

Alphabet Inc. (GOOGL) vs Occidental Petroleum Corporation (OXY): Which Is the Better Buy in 2026?

As of 2026-11-01, GOOGL is overvalued at $280, with a DCF intrinsic value of $8 and a margin of safety of -3448%. OXY is fairly valued at $64, with an intrinsic value of $80 and a margin of safety of 20%. Of the two, OXY has the wider margin of safety.

GOOGL
Alphabet Inc.
$279.84
VS
OXY
Occidental Petroleum Corporation
$64.00

Rewards

GOOGL
  • ★Alphabet Inc. has maintained ROIC above 15% for 4 consecutive years, indicating a durable competitive advantage.
  • ★Gross margin of 60.9% indicates strong pricing power — typical of businesses with significant intellectual property or brand strength.
  • ★Alphabet Inc. scores 89/100 on the Economic Moat Score (Wide Moat), with roic consistency as the strongest competitive dimension.
OXY
  • ★Gross margin of 73.3% indicates strong pricing power — typical of businesses with significant intellectual property or brand strength.
  • ★PEG ratio of 0.96 suggests the stock is undervalued relative to its growth rate — paying less than 1x for each unit of earnings growth.

Risks

GOOGL
    OXY
    • ⚠ROIC has declined by 21.2 percentage points over the past 4 years, which may signal competitive erosion.
    • ⚠Occidental Petroleum Corporation scores only 14/100 on the Economic Moat Score, suggesting limited durable competitive advantages.
    • ⚠Buybacks have been poorly timed — 2 out of 3 years involved repurchases at relatively expensive valuations.

    Key Valuation Metrics

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    GOOGL
    OXY
    Valuation
    $-1.16B
    Free Cash Flow
    $3.79B
    -0.03%
    FCF Yield
    5.92%
    14.61
    Trailing P/E
    18.18
    18.49
    Forward P/E
    12.76
    Quality & Moat
    14.30%
    ROIC
    15.07%
    44.29%
    ROE
    10.63%
    60.86%
    Gross Margin
    73.32%
    0.98
    PEG Ratio
    0.96
    Balance Sheet Safety
    Net cash
    Net Debt / Equity
    0.25
    N/A
    Interest Coverage
    N/A
    -0.62
    Net Debt / EBITDA
    0.76
    0.31%
    Dividend Yield
    1.75%
    GOOGL: 4Ties: 2OXY: 6
    GOOGLOXY

    Historical Fundamentals

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    GOOGL

    Price ÷ Earnings Per Share — how many years of current earnings you're paying for at today's price. Lower P/E may indicate undervaluation. The dashed forward point is the forward P/E — today's price ÷ analyst consensus EPS.

    OXY

    Price ÷ Earnings Per Share — how many years of current earnings you're paying for at today's price. Lower P/E may indicate undervaluation. The dashed forward point is the forward P/E — today's price ÷ analyst consensus EPS.

    Price ÷ Earnings Per Share — how many years of current earnings you're paying for at today's price. Lower P/E may indicate undervaluation. The dashed forward point is the forward P/E — today's price ÷ analyst consensus EPS.

    $1 Retained Earnings Test

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    GOOGL
    $9.18
    created per $1 retained over 3 years
    Exceptional Value Creator
    Σ Retained
    $288.67B
    Δ Market Cap
    +$2.65T
    Buffett's "$1 Test": For every $1 of earnings retained, has management created at least $1 of market value?
    > $1 created per $1 retained = Value Creator · < $1 created = Value Destroyer
    OXY
    $-2.84
    created per $1 retained over 3 years
    Market Cap Declined
    Σ Retained
    $5.67B
    Δ Market Cap
    $-16.14B
    Buffett's "$1 Test": For every $1 of earnings retained, has management created at least $1 of market value?
    > $1 created per $1 retained = Value Creator · < $1 created = Value Destroyer

    Buffett's "$1 Test": For every $1 of earnings retained, has management created at least $1 of market value?
    > $1 created per $1 retained = Value Creator · < $1 created = Value Destroyer

    Discounted Cash Flow (DCF) Analysis

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    GOOGL
    3447.8% Overvalued
    Price is 3447.8% above estimated fair value
    Current Price: $279.84
    Fair Value: $7.89
    Strongly undervalued
    Undervalued
    Fairly valued
    Overvalued
    Strongly overvalued
    OXY
    19.8% Margin of Safety
    Price is 19.8% below estimated fair value
    Current Price: $64.00
    Fair Value: $79.78
    Strongly undervalued
    Undervalued
    Fairly valued
    Overvalued
    Strongly overvalued

    Reverse DCF — Market-Implied Growth

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    GOOGL

    Requires positive FCF to compute implied growth rate.

    OXY

    What growth rate is the market pricing in at $64?

    +7.5%
    Market-Implied FCF Growth Rate

    Market pricing in significantly higher growth than history — aggressive.

    Economic Moat Score

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    GOOGL
    89/100
    Wide Moat
    70+ Wide · 40-69 Narrow · <40 None

    Wide moat driven primarily by roic consistency. Reinvestment Efficiency is the area most vulnerable to competitive pressure.

    Composite score measuring competitive advantage durability across four dimensions: returns above cost of capital, pricing power stability, revenue predictability, and capital efficiency. Based on 4 years of fundamental data.
    OXY
    14/100
    No Moat
    70+ Wide · 40-69 Narrow · <40 None

    No durable competitive advantage detected. The business shows limited evidence of pricing power, consistent returns, or capital efficiency.

    Composite score measuring competitive advantage durability across four dimensions: returns above cost of capital, pricing power stability, revenue predictability, and capital efficiency. Based on 4 years of fundamental data.

    Forensic Accounting

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    GOOGL
    -2.92
    Unlikely Manipulator
    Above -1.78 = likely manipulator · -2.22 to -1.78 = grey zone

    M-Score Trend

    Beneish's 8-variable model estimates the probability of earnings manipulation. An M-Score above -1.78 signals elevated risk — companies in this range have historically been 3-5× more likely to be manipulating earnings. Scores between -2.22 and -1.78 fall in a grey zone warranting further investigation.
    OXY
    -2.90
    Unlikely Manipulator
    Above -1.78 = likely manipulator · -2.22 to -1.78 = grey zone

    M-Score Trend

    Beneish's 8-variable model estimates the probability of earnings manipulation. An M-Score above -1.78 signals elevated risk — companies in this range have historically been 3-5× more likely to be manipulating earnings. Scores between -2.22 and -1.78 fall in a grey zone warranting further investigation.

    Beneish's 8-variable model estimates the probability of earnings manipulation. An M-Score above -1.78 signals elevated risk — companies in this range have historically been 3-5× more likely to be manipulating earnings. Scores between -2.22 and -1.78 fall in a grey zone warranting further investigation.

    Ownership Breakdown

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    GOOGL
    Insiders 1.6%Institutions 80.8%Retail & Other 17.6%
    No. of Institutional Holders7,451
    High insider ownership aligns management incentives with shareholders — a key signal in Buffett-style analysis. Institutional concentration can indicate smart-money conviction but also crowding risk.
    OXY
    Insiders 26.8%Institutions 58.3%Retail & Other 14.9%
    No. of Institutional Holders1,680
    High insider ownership aligns management incentives with shareholders — a key signal in Buffett-style analysis. Institutional concentration can indicate smart-money conviction but also crowding risk.

    High insider ownership aligns management incentives with shareholders. Institutional concentration can indicate smart-money conviction but also crowding risk.

    Insider Buying Activity

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    GOOGL
    0
    Buys (3M)
    0
    Buys (12M)
    No open market insider purchases found.
    Open market purchases · includes direct & indirect ownership · excludes option exercises
    OXY
    0
    Buys (3M)
    2
    Buys (12M)
    Total value (12M): $444,753
    JACKSON RICHARD A.
    Chief Executive Officer
    $249,853
    @ $52.38 · 2026-06-23
    KLESSE WILLIAM ROBERT
    Director
    $194,900
    @ $38.98 · 2025-12-16
    BERKSHIRE HATHAWAY INC
    Beneficial Owner of more than 10% of a Class of Security
    $35.72M
    @ $46.82 · 2025-02-07
    BERKSHIRE HATHAWAY INC
    Beneficial Owner of more than 10% of a Class of Security
    $409.15M
    @ $45.99 · 2024-12-19
    Open market purchases · includes direct & indirect ownership · excludes option exercises

    Open market purchases · includes direct & indirect ownership · excludes option exercises.

    Insider Selling Activity

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    GOOGL
    0
    Sells (3M)
    0
    Sells (12M)
    No open market insider sales found.
    Direct ownership only · excludes indirect, option exercises, planned (10b5-1) sales & derivatives
    OXY
    0
    Sells (3M)
    0
    Sells (12M)
    No open market insider sales found.
    Direct ownership only · excludes indirect, option exercises, planned (10b5-1) sales & derivatives

    Direct ownership only · excludes indirect, option exercises, planned (10b5-1) sales & derivatives.

    🎭 Mr. Market's Mood

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    GOOGL
    FearGreed
    😨Fear(23/100)

    "Market is pessimistic — investigate whether fears are temporary or structural"

    Composite sentiment score based on 6 market signals. Inspired by Buffett's "Mr. Market" allegory — fear = potential opportunity, greed = potential risk. Must be used alongside fundamental analysis, not in isolation.
    OXY
    FearGreed
    😏Greed(69/100)

    "Market is optimistic — be cautious and ensure you have a margin of safety"

    Composite sentiment score based on 6 market signals. Inspired by Buffett's "Mr. Market" allegory — fear = potential opportunity, greed = potential risk. Must be used alongside fundamental analysis, not in isolation.

    Composite sentiment score based on market signals. Inspired by Buffett’s "Mr. Market" allegory — fear = potential opportunity, greed = potential risk. Must be used alongside fundamental analysis, not in isolation.

    ⚖️ Buffett Signal

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    GOOGL
    ⚪Awaiting DCF Data

    The Buffett Signal cross-references market sentiment with DCF valuation. Configure the DCF Analysis above to generate a signal.

    DCF Margin of Safety: N/AMr. Market's Mood: Fear (23)
    OXY
    ⚪Awaiting DCF Data

    The Buffett Signal cross-references market sentiment with DCF valuation. Configure the DCF Analysis above to generate a signal.

    DCF Margin of Safety: N/AMr. Market's Mood: Greed (69)
    View GOOGL Full AnalysisView OXY Full Analysis

    Frequently Asked Questions: GOOGL vs OXY

    Is Alphabet Inc. or Occidental Petroleum Corporation more undervalued in 2026?▼

    Based on our discounted cash flow model, OXY trades at a 19.8% margin of safety (intrinsic value $80 vs. price $64), compared to GOOGL's -3447.8% margin of safety (intrinsic $8 vs. $280).

    Which stock has a wider economic moat, Alphabet Inc. or Occidental Petroleum Corporation?▼

    GOOGL scores 89/100 (Wide moat), while OXY scores 14/100 (None moat). The moat score measures competitive advantage durability across ROIC consistency, margin stability, revenue predictability, and reinvestment efficiency.

    Is Occidental Petroleum Corporation in financial distress?▼

    OXY's Altman Z-Score of 1.3 places it in the Distress zone, signaling elevated bankruptcy risk. GOOGL scores 2.4 (Grey zone). The Altman Z-Score is a five-factor model that predicts insolvency within two years; scores below 1.81 indicate significant distress.

    Which company has better free cash flow, Alphabet Inc. or Occidental Petroleum Corporation?▼

    Occidental Petroleum Corporation (OXY) generates a 5.9% free cash flow yield, compared to Alphabet Inc.'s -0.0%. A higher FCF yield means the business converts more of its market value into cash that can be returned to shareholders or reinvested.

    Which stock has higher return on invested capital, Alphabet Inc. or Occidental Petroleum Corporation?▼

    OXY earns 15.1% ROIC versus GOOGL's 14.3%. A higher ROIC means the company generates more profit per dollar of capital employed, a hallmark of durable competitive advantage in Buffett-style analysis.

    Which dividend is safer, Alphabet Inc.'s or Occidental Petroleum Corporation's?▼

    GOOGL's dividend earns a safety score of 88/100 (Very Safe), compared to OXY's 78/100 (Safe). GOOGL has raised its dividend for 1 consecutive years.