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  "documentTitle": "Alphabet (GOOGL)",
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  "authorName": "Christopher Hohn",
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      "text": "Source: S&P Global Market Intelligence. Analysis includes largest 20 information technology or internet companies by market capitalisation as of Dec. 31, 2021. Excludes companies that do not disclose CEO pay ratio.",
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      "text": "As part of basic financial management, Alphabet should establish and publicly disclose an EBIT margin target for the Google Services segment. We believe an EBIT margin target of at least 40% is reasonable. Almost two-thirds of revenues come from Search, a very strong business with high underlying margins. The Google Services EBIT margin was 39% in 2021 and therefore 40% should be easily achievable through operating leverage and cost cutting. Management compensation should be linked to this target to ensure accountability.",
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