Google stock barrels through $700The article is all about the speculative frenzy but not a word about actual earnings. These are volatile days with money running from one market to the other. After the tech bubble, the vast amounts of capital rushed into real estate until that bubble burst, now with interest rates dropping, money looks for the best return which today is the stock market but mindless speculation will only lead to more misery. The Fed is expected to drop interest rates again today. Although this is at the expense of the falling dollar that money is going somewhere and it appears that the Stock Markets are the benefactors. With so many American families holding stocks, this could be very good for the US economy if the Market doesn't go totally insane. Mortgage holders have been refinancing and another round of rate cuts will allow even more people to free up money with lower interest rates. If we can tolerate higher oil prices for just a little longer...
By MICHAEL LIEDTKE, AP Business Writer
Google Inc.'s stock price barreled through $700 for the first time Wednesday, propelled by a belief that the Internet search leader will become even more profitable as it plants its products and services in new markets.
The Mountain View-based company's shares traded as high as $704.79 in morning trading before falling back to $703.87, up $9.10 for the session. It took less than a month for the stock to leap from $600 to $700, building upon a fervor that has lifted Google's market value by more than 30 percent since mid-September.
During that 6 1/2-week stretch, Google has created an additional $53 billion in shareholder wealth. That dwarves the total $41 billion market value of another Internet icon, Yahoo Inc., which had a 4-year head start on Google.
Wednesday, October 31, 2007
Is Google Worth $700 a Share?
Is it possible that this company's stock could actually be worth this kind of money? Or is this more market insanity?
Posted by whit at 10/31/2007 12:53:00 PM