Today's post is by Jeff Braun of The Market Guardian. Today Jeff is taking a look at the giant we all know as Google. As hard as it seems to find a long position these days, Jeff thinks there may be one right under our noses. So sit back and enjoy as Jeff analyzes the giant.
Google remains a global leader in search, internet advertising! It was just announced today that Google Inc. (GOOG) expanded its lead in the U.S. Internet search market in February at the expense of rivals Yahoo Inc., Microsoft Corp. and Ask.com, according to data published Tuesday by Hitwise Pty. Ltd. There is only a small amount of non-financial companies with $10+ billion of net cash on the books. The optionality of that war chest in this environment is huge. That plus core business spells attractive here to me.
Google (GOOG) may soon see increased federal sales as one of the beneficiaries of an expected uptick in federal spending on technology. It is well known that Federal agencies are testing Google tools as we speak and a key fan is Obama’s new tech hire!
Google (GOOG) just continues to find new markets to enter and in each new market they find ways to be more efficient and a better value than industry competitors such as print media and ad agencies. They will enable the Internet to compete in markets and methods we haven’t yet conceived. And the markets they are already attacking are huge providing abundant growth opportunities well into the future. I am convinced the conversion process of brick and mortar to digital has just begun.
I am thinking Twitter will get sold for $150m to $250m in the next 24 months. Will Google be the one buying them? Google has a short message for those wondering whether the search giant will soon buy the micro-blogging site Twitter: CEO Eric Schmidt “unlikely”
Here are some facts about Google (GOOG)
The historical high for (GOOG) was 741.79 on the 6th of November 2007. It has been 470 days since the historical high price.
The lowest price was 100.01 on the 3rd of September 2004. It has been 1629 days since that low price.
The largest volume day was the 20th of January 2006 when 41,182,900 shares were traded. It has been 1125 days since that big volume day.
The lowest volume day was the 24th of December 2007 when only 1,628,300 shares changed hands. That was 421 days ago.
Between 275-325 It may be time to start accumulating shares. 2-4 years from now I think you will be VERY happy.
Best of luck in the markets,
What do you think? Is it time to consider a long position in GOOG? Be sure to comment and let us know your thoughts. For more on Jeff be sure to visit The Market Guardian.