GOOGL/YouTube — Scenario Model
Blue = input assumption|Black = computed

YouTube — Scenario Model

Current Price
$274
YouTube Component
$29/sh
Market Implies
80% chance of upside scenarios
10% collapse probability

Scenario Overview

ScenarioEV$/shProbRevenueGross Margin %Ebit Margin %FcfKey Gate
mega bull$492B$4156%
bull$275B$2313%
base$188B$1610%
bear$95B$810%
collapse$52B$410%

Full Year-by-Year Models

Blue = input · Black = computed · Click to expand

Market-Implied Probability Reconciliation

Given these scenario EVs, what probability weights would the market need to assign to produce the current market-implied value of $29/share?

ScenarioYouTube Segment EVPer ShareImplied Prob.Weighted Contrib.
mega bull$492B$4156.3%$23
bull$275B$2313.4%$3
base$188B$1610.1%$2
bear$95B$810.1%$1
collapse$52B$410.1%$0
Total100%$29/sh

Note: These probabilities apply to YouTube's contribution to Alphabet equity. Search, Cloud, Waymo+AI, Other Ops, and net cash contribute separately.

Target contribution: $29/sh. Residual: $0.0/sh.

Assumption Sources

ctvDriver12.4% → 26% of all US TV. CTV ad CPMs $20-40 [Nielsen]
shortsShorts monetization exceeded long-form per watch hour [mgmt]. 40% of ad revenue.
subsPremium/Music subs from 120M to 375M. YouTube TV to 21M. NFL Sunday Ticket catalyst.
competitive$100B paid to creators [YouTube]. 2.7B MAU. TikTok ban upside.