They're Nuts!

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PeterD
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They're Nuts!

Post by PeterD » Fri Oct 22, 2004 2:13 am

What are the analysts, stockbrokers and investors smoking? Google's market share value reached $44 billion dollars today :shock: -- more than twice the market value of General Motors and 1/6 that of General Electric (on any given day, you purchase a GE product!!!). Search engines are here today, gone tomorrow (remember what's its name?). Guess what's going to happen when a better search engine comes along? -- POOF! That's what.

The market was overvalued 5 years ago; it's still overvalued today.

My advice: stay away; stay very far away.

~PeterD
Fanatical ranting is not just fine because it's eloquent. What if I ranted for the extermination of a people in an eloquent manner, would that make it fine? Rather, ranting, be it fanatical or otherwise, is fine if what is said is true and just. ---PeterD, in reply to IreneY and Annis

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classicalclarinet
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Post by classicalclarinet » Fri Oct 22, 2004 4:36 am

Economis make my very confused head even more confused. That is why I will buy a vault, put all my $$ in it, hide it in the Chugach Mountains, and never read the Economy section again. When I am an adult and have any $$, that is.

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klewlis
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Post by klewlis » Fri Oct 22, 2004 6:41 am

classicalclarinet wrote:Economis make my very confused head even more confused. That is why I will buy a vault, put all my $$ in it, hide it in the Chugach Mountains, and never read the Economy section again. When I am an adult and have any $$, that is.
You can't do that. Inflation says that your stockpiled dollars will be worth basically nothing if you don't do anything with it for years. :)
(like the man who buried his talents instead of investing them... lol)

Anyway, Google isn't just another search engine. Their search engine is only one part of the company. They have a lot of other services and some really great, creative ideas. This is what will ensure their success: they have great ideas and they do a really good job at implementing them. There is nothing half-done or haphazard about Google. They do excellent work. I have more faith in them than any of the others.

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Post by tdominus » Fri Oct 22, 2004 9:23 am

Another thing that google has is information about searches and thereby market preferences that would be worth billions itself.

Eg, Does a rise in certain searches from certain locations correlate with share price increases in a certain company? and so on.. they've got so much info, and a certain degree of control on it, that many could only dream about.

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Post by Keesa » Fri Oct 22, 2004 11:56 am

I like Google. I don't invest in stock, but if I did, I'd probably invest in Google.
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Post by Keesa » Fri Oct 22, 2004 12:03 pm

I also think they're all nuts, by the way. :wink:
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Re: They're Nuts!

Post by NelsonN » Fri Oct 22, 2004 12:08 pm

PeterD wrote:What are the analysts, stockbrokers and investors smoking? Google's market share value reached $44 billion dollars today :shock:
People have forgotten the bitter lessons of the Internet/Tech bubble. I have been criticizing the ridiculous market cap Google has attained since the beginning when they were talking about pricing the IPO.

I never listen to analysts and the best time to invest is when a good company is hit by some nonsensical news that everyone else gets nervous over and start dumping its shares. It's the only way to invest. And I stay away from these high priced darling prima donnas.
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Post by NelsonN » Fri Oct 22, 2004 12:23 pm

Keesa wrote:I like Google. I don't invest in stock, but if I did, I'd probably invest in Google.
Google has a problem with its search engine algorithm. Yahoo's new search algorithm is doing a much better job these days.

Here is an article about it, Feb. 18, 2004.
http://www.eweek.com/article2/0,4149,1530367,00.asp

Also, blogs are starting to infect Google. Blogs come up for many keyword searches and they have nothing to do with what you are searching for. This is due to the fact that a blog can contain 10 times the number of the keyword your using to search Google than any relevant article or website.
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Post by PeterD » Fri Oct 22, 2004 2:28 pm

klewlis wrote:Anyway, Google isn't just another search engine. Their search engine is only one part of the company. They have a lot of other services and some really great, creative ideas. This is what will ensure their success
hi,

BMW makes excellent cars. Would you pay a couple of million dollars for a $100,000 car? Google is trading at 200X its earnings! Let's put that ratio in perspective. If its earnings, let's say, would stay the same, it would take 200 years for the company to earn its market value. It's a very long wait if you ask me. I'd rather take the beemer, at a couple of mill, than hold a stock, especially a tech stock, long term that is stratospherically overpriced (remember the key word is the adverb: stratospherically). At least with the beemer, I'd have something.

BTW, although the success of a company is generally reflected in its share price, an overpriced stock does not directly affect the company's balance sheet, unless of course it issues new shares (but then it would be diluting its earnings).

Words of wisdom: Most successful companies are privately held; that is, they have no public shares outstanding. Why should they if they are doing SO well. For example, take Hydro Quebec, one of the biggest cash cows in North America, if not the world.. The Quebec government would be insane if it were to sell it. Would you sell the goose that lays golden eggs? It reminds me of the story of this Athenian who was selling honey who tells a prospective buyer how delicious it is. The buyer replies that if it's as good as you claim, why are you selling it. The seller, in a moment of honesty, replies that if a mouse had not fallen in the honey, he would not!

~PeterD
Last edited by PeterD on Fri Oct 22, 2004 8:16 pm, edited 4 times in total.
Fanatical ranting is not just fine because it's eloquent. What if I ranted for the extermination of a people in an eloquent manner, would that make it fine? Rather, ranting, be it fanatical or otherwise, is fine if what is said is true and just. ---PeterD, in reply to IreneY and Annis

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Post by NelsonN » Fri Oct 22, 2004 2:45 pm

BTW, I forgot to mention. There are no class B shares in public hands. Which means, the public shareholders are at a disadvantage when a vote takes place--at 10 votes for every class B share versus 1 vote for a common share.
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Post by PeterD » Fri Oct 22, 2004 2:53 pm

NelsonN wrote:BTW, I forgot to mention. There are no class B shares in public hands. Which means, the public shareholders are at a disadvantage when a vote takes place--at 10 votes for every class B share versus 1 vote for a common share.
"There's a sucker born every minute." PT Barnum (I think he said it.)

NelsonN, where are these investors going without a crash helmet?
Fanatical ranting is not just fine because it's eloquent. What if I ranted for the extermination of a people in an eloquent manner, would that make it fine? Rather, ranting, be it fanatical or otherwise, is fine if what is said is true and just. ---PeterD, in reply to IreneY and Annis

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klewlis
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Post by klewlis » Fri Oct 22, 2004 3:10 pm

PeterD wrote:
klewlis wrote:Anyway, Google isn't just another search engine. Their search engine is only one part of the company. They have a lot of other services and some really great, creative ideas. This is what will ensure their success
hi,

BMW makes excellent cars. Would you pay a couple of million dollars for a $100,000 car? Google is trading at 200X its earnings! Let's put that ratio in perspective. If its earnings, let's say, would stay the same, it would take 200 years for the company to earn its market value. It's a very long wait if you ask me. I'd rather take the beemer, at a couple of mill, than hold a stock, especially a tech stock, long term that is stratospherically overpriced (remember the key word is the adverb: stratospherically). At least with the beemer, I'd have something.
Oh, I wasn't trying to defend an outrageous stock value. I was attempting instead to indicate my faith that google is not simply another dot com that is here today, gone tomorrow. :)

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Post by PeterD » Fri Oct 22, 2004 3:15 pm

klewlis wrote:Oh, I wasn't trying to defend an outrageous stock value. I was attempting instead to indicate my faith that google is not simply another dot com that is here today, gone tomorrow. :)
Hi,

It will probably be around for a long time. But that still does not justify common sense flying out the window. I wish prospective investors would take a basic finance 101 course; it would be the best investment they ever made.
Fanatical ranting is not just fine because it's eloquent. What if I ranted for the extermination of a people in an eloquent manner, would that make it fine? Rather, ranting, be it fanatical or otherwise, is fine if what is said is true and just. ---PeterD, in reply to IreneY and Annis

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Post by cweb255 » Thu Nov 04, 2004 1:04 pm

Google. heh. I remember about a year ago I did some translating in Latin for Google. I wonder if they ever implemented anything...?

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Post by klewlis » Fri Nov 05, 2004 3:26 pm

cweb255 wrote:Google. heh. I remember about a year ago I did some translating in Latin for Google. I wonder if they ever implemented anything...?
Latin has long been one of the languages in which one might choose to have their personalized google. It's quite fun. :)

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