Zecco.com » General Investing » Screening & Picking » GOOG will explode tomorrow
Last post 05-12-2008, 1:32 AM by jackg1606. 17 replies.
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  •  05-04-2008, 6:15 PM 28457

    GOOG will explode tomorrow

    Reply Quote
    I think GOOG is going to $700 per share with the collapse of the YHOO deal with MSFT. I'm very curious if other people agree with this notion.

    The YHOO deal with MSFT encouraged me to buy GOOG as it allowed me to buy it at a discount and I believed that it somehow wouldn't work out; there would be integration problems of some sort.

    Aqua
  •  05-04-2008, 7:26 PM 28462 in reply to 28457

    Re: GOOG will explode tomorrow

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    it sounds like it will go up but.... 700? its under 600 as last stated by the share price at closing. I highly doubt there will be a very big move.
  •  05-04-2008, 8:42 PM 28467 in reply to 28462

    Re: GOOG will explode tomorrow

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    I hope it will explode.  I'm a little bit long...  so go go google
  •  05-05-2008, 1:33 AM 28483 in reply to 28457

    Re: GOOG will explode tomorrow

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    I was rather hoping MSFT would explode tomorrow....

    hehe....

  •  05-05-2008, 8:43 AM 28493 in reply to 28457

    Re: GOOG will explode tomorrow

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    Premarket its 3% up, today will be an interesting day
  •  05-05-2008, 4:38 PM 28511 in reply to 28493

    Re: GOOG will explode tomorrow

    Reply Quote
    It gapped higher today, then failed to explode.  What does this mean?  It also failed to "fill the gap", which is a good thing, but I would not call today an explosion!  I bought more shares today, hmmm, maybe that wasn't the best move.
  •  05-05-2008, 4:52 PM 28512 in reply to 28457

    Re: GOOG will explode tomorrow

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    I hate to burst your bubble, but google is far too over valued for any explosive growth. you might see it trading up to $700+, but I doubt it, google is going to be subjected to the same anti-trust gauntlet that MS was, and I don't think that at this point it's fair to speculate what the outcome will be. More likely than not they'll end up in the same position that MS enjoys presently.

    Even if you do ignore the likely anti-trust activities, they're still one of the most overhyped companies that I can think of, and that again does not bode well for share price over the long term. Tech companies, and really any company that has to innovate or die, is not a particularly sound investment unless you can be assured that the moat is well dug and deep. I doubt that google can maintain this for too long before they get arrogant and lose out to the competition. It happens every iteration of computer technology.

    It really isn't a shocker that the explosive growth failed to materialize, it's been all but a foregone conclusion that this MS-Yahoo deal would make little impact even if it were to go through. Combining two failing businesses is hardly a recipe for success. And no, I don't think that MS is a failing business, but their search engine unit is flailing around quite a bit at present.
  •  05-05-2008, 6:42 PM 28521 in reply to 28512

    Re: GOOG will explode tomorrow

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    Income Statement
    Revenue (ttm):18.12B
    Revenue Per Share (ttm):58.109
    Qtrly Revenue Growth (yoy):41.50%
    Gross Profit (ttm):9.94B
    EBITDA (ttm):6.51B
    Net Income Avl to Common (ttm):4.51B
    Diluted EPS (ttm):14.23
    Qtrly Earnings Growth (yoy):30.40%
  •  05-05-2008, 6:48 PM 28523 in reply to 28521

    Re: GOOG will explode tomorrow

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    Trailing P/E (ttm, intraday):41.81
    Forward P/E (fye 31-Dec-09) 1:24.04
    PEG Ratio (5 yr expected):1.02
  •  05-06-2008, 1:18 AM 28543 in reply to 28523

    Re: GOOG will explode tomorrow

    Reply Quote
    When do you think GOOG will hit back to the 750 mark? In a month or two? The stock just been soaring since Feb. I dont know if i should buy now and mark a few bucks in the short run. What do you think?
  •  05-06-2008, 3:31 PM 28571 in reply to 28543

    Re: GOOG will explode tomorrow

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    It's showing weakness today, 05/06.  I hope it's just consolidating before it's next move up...
  •  05-06-2008, 11:27 PM 28613 in reply to 28571

    Re: GOOG will explode tomorrow

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    RichDad:
    It's showing weakness today, 05/06.  I hope it's just consolidating before it's next move up...


    Me too.

    Aqua
  •  05-06-2008, 11:57 PM 28617 in reply to 28467

    Re: GOOG will explode tomorrow

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    Aqua is a pump and dump specialist.
  •  05-07-2008, 3:54 PM 28667 in reply to 28521

    Re: GOOG will explode tomorrow

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    I'm aware of that, I'm also aware that historically companies that are fawned over as much as Google is don't look so hot in retrospect.

    In this case I wouldn't touch GOOG with an 11 and 1/2 foot poll. The management lately has been making a bunch of bizarre moves. By which I mean buying out other companies before developing a means of turning them into profitable units and depending way to highly on their monopoly position. If the Dems take the white house next election, or McCain has more integrity than the Bush administration they should get smacked by the DoJ for their corporate activities. Not to mention the fact that their business has little to no focus outside of ad revenue. There doesn't appear to be any planning about what to do next.

    Even ignoring that fact, they've got a P/E which is nearly 2x what MSFT's is at the moment. Despite the fact that MS has a far more secure business model and has demonstrated over the years a staying power which is formidable.

    Yeah, Google's going to keep going up for a while, but ultimately, unless they start managing their cash, they're going to run into trouble eventually. There just isn't any excuse for the kind of decadent buying sprees they've been involved with. At some point, probably in the near future, they're going to be facing a far less accomodating regulatory environment.

    You guys can definitely speculate in Google if you wish, it's your money. But lets just be honest about the fact that buying into Google now, is a speculative endeavor, not one that's built upon sound investment principles.

    But that's just my opinion, feel free to differ.

  •  05-07-2008, 9:00 PM 28685 in reply to 28457

    What is a balance sheet?

    Reply Quote
    A balance sheet is a financial statement that addresses the current financial status of the company. When I invest, I prioritize the following facts:

    1) Cash on the Balance Sheet compared to Accounts Payable, Current Liab and Total Equity
    2) Cash Flow from Operating Activities
    3) PEG ratio
    4) Cash-Flow from Investing Activities
    5) Price Movement

    GOOG passes all 5 tests in my book.

    Other Factors that I consider if I am still interested:

    1) Industry
    2) Annual Report
    3) Conference Calls
    4) Prospects
    5) Consistent with strategy



    Aqua
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