Yahoo Finance analysis points out that despite Google Cloud's 82% growth, $514 billion in cloud backlog, and $53 billion in trailing free cash flow, its P/E ratio remains at 17x, lower than Meta's 22x. Meta's operating margin dropped from 43% to 31% in Q2 2026 due to $2.4 billion in legal fees and layoffs, ending six consecutive quarters of EPS beats. The analysis suggests that Google has a clearer path to AI monetization than Meta's transformation story.