Can Google Reach $250?
John Battelle reports that Safa Rashtchy, a seniot research analysts, just initiated coverage on Google with an Outperform rating and a target price of $250.
$250! Is it even possible?
Google now stands at 196.78, a two-dollar drop from this morning, five dollars higher than last night's close, thanks to after-hours training. More importantly, Google is up over twenty dollars since mid-March, but down fifteen dollars since early February. The recent upward movement is due to tomorrow's earnings report (and a lot of speculation), while the previous downward spiral was fallout from the previous earnings report.
Most likely, the same thing will happen. Google will jump tomorrow night after the close of trading, then drop over the subsequent weeks. This is because, short-term, the market is colossally stupid, shooting itself in the foot, just like during the late 90s dot-com craze.
Still, if you want to make a quick twenty bucks, buy Google now and sell it during tomorrow's feeding frenzy.
What heights will GOOG reach? For now, it is stagnant, hovering between $180-195, except for random peaks and valleys. If Google stock shows growth, I could see it stabilizing in the neighborhood of $225-235.
What do you think?
John Battelle's report
Analyst Safa Rashtchy
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About the Author:
Nathan Weinberg writes the popular InsideGoogle blog, offering the latest news and insights about Google and search engines.
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