Google Finds a Forgiving Market

 | Jul 22, 2013 | 3:36 PM EDT  | Comments
  • Comment
  • Print Print
  • Print
Stock quotes in this article:

goog

,

yhoo

,

aapl

,

gs

,

gs

Wow, the market gave Google (GOOG) a pass. It turns out the decline was just another terrific buying opportunity. Given that the numbers weren't what we thought they would be on some key metrics -- basically how much it is paid for advertising -- is this nuts?

Nah. Google is being given the same luxury once afforded to Steve Jobs and Apple (AAPL). Call it the "They will figure it out" premium that nobody else is getting. Google has so many irons in the fire that people can dismiss a weak quarter, betting that advertising will shine in the next one because of changes that will be made intra-quarter.

Why not? Yahoo! (YHOO) got the free pass, although that was also because of the peeling off of the stake in Ali Baba. But the other side is that eBay (EBAY), which did deliver a terrific quarter, has been crushed for giving conservative guidance.

Where do I come out? I said to buy Google last week on the weakness, simply because this company has social, mobile and the cloud going for it.

Only Salesforce.com (CRM) has that much going for it. So that means Google is still not too late to buy.

Random musings: Speaking of forgiveness, looks like Goldman Sachs (GS) has gone the way of Google, too!

Columnist Conversations

TrueCar, Inc. (TrueCar) is a data-driven online platform operating a technology infrastructure, powered by dat...
Financial Planning magazine reports that... The Internal Revenue Service is considering regulations to limit t...
MMM is rolling over. Early last week the stock began to fall out of a steep bull channel before retestin...
Higher tariffs are a sign of increased floating inventories that will be available for immediate withdrawal on...

BEST IDEAS

REAL MONEY'S BEST IDEAS

Columnist Tweets

BROKERAGE PARTNERS

Except as otherwise indicated, quotes are delayed. Quotes delayed at least 20 minutes for all exchanges. Market Data provided by Interactive Data. Company fundamental data provided by Morningstar. Earnings and ratings provided by Zacks. Mutual fund data provided by Valueline. ETF data provided by Lipper. Powered and implemented by Interactive Data Managed Solutions.


TheStreet Ratings updates stock ratings daily. However, if no rating change occurs, the data on this page does not update. The data does update after 90 days if no rating change occurs within that time period.

IDC calculates the Market Cap for the basic symbol to include common shares only. Year-to-date mutual fund returns are calculated on a monthly basis by Value Line and posted mid-month.