Friday, November 05, 2004

Google stock under pressure

Ever since briefly trading above $200 intra-day on Nov 3, 2004 Google stock has been under a lot of pressure. UBS which initiated on GOOG with a Reduce rating points to four factors that will keep stock under pressure in the near-term 1) slowing growth, 2) margin deterioration in 2005, 3) increased stock float and 4) mutiple compresion. I think all these factors also mattered at $175 or for that matter at $135 also. The timing on float increasing 233% from approximately 27M shares to 90M shares by end of 2004 matters the most in driving the stock down. Timing is the most crucial part of picking stocks; "you can be right, but can you be liquid?" is one of the most important question to ask.

1 Comments:

Blogger cc Infopage said...

Hello,
I visited your "google video
" Blog.
As I created about 30,000 Information Pages about all kind if subjects, I know how difficult it is to keep all this stuff updated and to find all the information you need.
Should you need more info, I invite you to visit cc Infopage, you might find there some information that will interest you.
I wish you all the good luck I can, keep the good work going!
Kind regards,
Jos
cc Infopage

3:21 PM  

Post a Comment

<< Home