Google Finds a Forgiving Market

 | Jul 22, 2013 | 3:36 PM EDT  | Comments
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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!

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