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Technology Stocks : Alphabet Inc. (Google) -- Ignore unavailable to you. Want to Upgrade?

To: Lizzie Tudor who wrote (7430)	2/12/2006 8:38:19 PM
From: Sr K	Respond to of 15857

I think the Street may have known about the NYT article today (5 pages online): Madison Avenue's 30-Second Spot Remover ... redefining advertising by making the delivery of the message a two-way street between marketers and consumers. If you think of Google as an advertising purveyor, this may be the more important of the two articles.

To: Lizzie Tudor who wrote (7430)	2/13/2006 10:03:45 AM
From: Proud_Infidel	Respond to of 15857

Barron's sees more stock slide for Google By Reuters Story last modified Sun Feb 12 11:56:28 PST 2006 Shares of Web search leader Google--off 24 percent from highs set last month--could face a further 50 percent decline, Barron's said in the financial weekly's Feb. 13 edition. Barron's scenario for a fall in Google's stock is based on speculating about what may happen if mounting competition or fraud by users of its Google's ad-buying system led to a 20 percent shortfall in bullish analysts' 2006 revenue estimates. The weekly uses a back-of-the-envelope calculation to show how a 20 percent revenue miss could cascade into a 30 percent profit shortfall. Such a drop could then lead to a decline in the price-to-earnings multiple of the stock to 30 times earnings from the present P/E ratio of 41, it said. "That would make the stock worth $188, versus its recent $360," Barron's reported. The stock traded at levels above $471 on Jan. 11, but closed at $362.61 on Friday on Nasdaq. The story recites the usual litany of threats to Google's business--potential competition from Yahoo and Microsoft and the vulnerability to Google's advertising franchise from "click fraud" fake ad transactions. And it criticizes the wide use of employee stock compensation. Barron's quotes several Google bears--two Wall Street analysts with "sell" ratings on the stock, bearish investment strategist Fred Hickey and former Merrill Lynch Internet analyst Henry Blodget, who a month ago laid out a case for Google falling to $100 on his InternetOutsider blog. The weekly also sees Google in growing conflict with book publishers, cable companies and telephone companies.