Will Google Lap Gold and the S&P?
When Google had their IPO and I saw it was going at $100, I was incredulous. I just could not see how a company whose business was selling ads on a search engine could possibly be worth that much.
When it went to $200, I thought, "get out now fools", it's going to crater.
Then it went to $300, then $400, then $500, and now it is up to almost $600.
At this rate, if the economy manages to return to anything like normal, it could very realistically end up higher than Gold, and if the S&P makes a big correction, it could pass them too.
I still do not see why it is at this price. Could someone who actually owns Google enlighten me as to why you think it is worth this much, and where you see it going?
It has a trailing PE of 38 and doesn't even pay a dividend.
I know, it is getting into the "phone business", but so is everybody and his brother.
This stock scares me because I see it as the "poster child" of an overheated market.
To each his own, and if you are bullish on it, good luck. If you are short, you are probably due for a big payday.
JMO and worth exactly what I am charging for it.