Interesting article

[G2TheEmini]

Google Shares Dip; Investors Take Profits


All Associated Press News

NEW YORK (AP) - Google Inc.'s shares dipped Tuesday in a flurry of trading on Wall Street, as investors took in profits and gained a breather from the hot online advertising sector.

Google shares fell $17.69, or 4.2 percent, to $405.79 in heavy afternoon trading on Nasdaq, and earlier changed hands as low as $404.12. Despite the slide, the Mountain View, Calif., giant's stock has still more than doubled since the year began.

On Monday, Google's stock hit a fresh 52-week high of $431.24.

"There's a lot of momentum in the stock and once you see a crack in terms of momentum, some investors who had no real reason to own the stock begin to exit," said Scott Devitt, an analyst at Legg Mason Wood Walker Inc.

Earlier Tuesday, investment research and advisory firm Stanford Group Co. downgraded Google's stock to "Hold" from "Buy," saying Google's reported pursuit of a stake in America Online "is representative of an increasingly competitive environment, which will eventually begin to slow Google's growth."

News reports have said Google and cable company Comcast Corp. are in talks with Time Warner Inc. about buying a minority stake in the Internet service provider.

Derek Brown, an analyst at Pacific Growth Equities, said a number of online ad companies have been selling off over the past few days. "Google, as well as many other companies in the online marketing sector, have been on fire, so it's not particularly unusual to see a bit of a breather," said Brown, who owns Google stock.

Google's dip could also "just be the usual excuse of profit taking," said Martin Pyykkonen of Hoefer & Arnett Inc.

On Monday, Merrill Lynch analyst Lauren Rich Fine issued a client note that maintained Google's rating at "Neutral," but "with anxiety," and said "this is not a stock for those with a weak stomach."

Google "is starting to attract more negative publicity as it has become incredibly dominant online and has started to encroach on other companies' businesses," Rich Fine said in the note. "In our view, this heightens the risk in the shares."

Elsewhere in the sector, Yahoo Inc. shares fell 73 cents, or 1.8 percent, to $40.38 in afternoon trading on Nasdaq.

Online advertising and marketing company ValueClick Inc.'s stock fell 25 cents, to $18.31, and shares of aQuantive Inc., a digital marketing services and technology firm, fell 14 cents to $26.20.



Well I don't know about you guys but I love GOOG stock...
What is your guys take on this?

[kcmandava]

Well, the market is bullisg on Google now. Like the analyst said this stock is not for those with a weak stomach. Google is at an all-time high and it makes sense to hold rather than buy. I think investors who haven't offset their initial investments should do so right now.

From an offer price of $85 to $400 plus in 15-months is a commendable achievement. Its market capitalization now exceeds that of estabilished companies like Cisco! Thats amazing, but quite unlikely to be repeated consistently. Make hay while the sun shines!!

[G2TheEmini]

Originally Posted by chaitanyamandava

Well, the market is bullisg on Google now. Like the analyst said this stock is not for those with a weak stomach. Google is at an all-time high and it makes sense to hold rather than buy. I think investors who haven't offset their initial investments should do so right now.

From an offer price of $85 to $400 plus in 15-months is a commendable achievement. Its market capitalization now exceeds that of estabilished companies like Cisco! Thats amazing, but quite unlikely to be repeated consistently. Make hay while the sun shines!!

I totally agree with you...I just wanted to get some other opinions

[Kevo8605]

I've heard people tell me that you have to be invited tobuy Google stock?

[ferrarist75]

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