Google (NASDAQ:GOOG)‘s stock had its “hold” rating restated by stock analysts at BGC Financial in a report issued on Thursday, StockRatingsNetwork reports. They currently have a $850.00 price target on the stock, up from their previous price target of $810.00. BGC Financial’s price objective would suggest a potential downside of 5.35% from the company’s current price.
The analysts wrote, “Google reports September quarter results on October 18th. We look for the following: 1) Can the core business of revenue from Google owned sites accelerate back to growth that exceeds 20%? The company has posted four consecutive quarters of growth below 20% in its core, a meaningful deceleration from the 35% YoY growth in the core that the company captured in 2011. We are estimating $9.23 billion from Google sites, growth of 19.5% YoY. We see the slowing core business as a one reason why Google is investing so heavily in new ventures as new products are needed to reignite revenue growth. 2) Can the losses at Motorola be trimmed, and is revenue still limp sequentially even with the launch of the Moto X phone? We estimate Motorola revenue of $997 million, essentially flat QoQ with the $998 million of revenue in the June quarter. We are unconvinced of Google’s strategy with Motorola. 3) Will enhanced campaigns, which removes the ability for advertisers to exclude bidding on mobile clicks, reverse the downtrend in pricing? Click prices have declined for a startling 7 consecutive quarters, after posting 8 consecutive quarters of increases starting back in 2009. We ask the question, what if the impact of poorly converting mobile clicks results in sustained declines in click pricing even with enhanced campaigns? 4) Is the company going to continue to grow expenses faster than revenue? In the June quarter expenses grew over 26% YoY compared to revenue growth of 19.5% YoY.”
Shares of Google (NASDAQ:GOOG) traded down 0.55% during mid-day trading on Thursday, hitting $893.13. The stock had a trading volume of 391,756 shares. Google has a 52 week low of $636.00 and a 52 week high of $928.00. The stock has a 50-day moving average of $878.6 and a 200-day moving average of $868.8. The company has a market cap of $297.4 billion and a price-to-earnings ratio of 25.98.
A number of other firms have also recently commented on GOOG. Analysts at RBC Capital reiterated an “outperform” rating on shares of Google in a research note to investors on Tuesday. They now have a $1,020.00 price target on the stock. Separately, analysts at Credit Suisse reiterated an “outperform” rating on shares of Google in a research note to investors on Monday. Finally, analysts at Deutsche Bank reiterated a “buy” rating on shares of Google in a research note to investors on Friday, October 11th. One investment analyst has rated the stock with a sell rating, ten have issued a hold rating, twenty-nine have assigned a buy rating and one has given a strong buy rating to the stock. Google currently has an average rating of “Buy” and a consensus target price of $969.47.
In other Google news, CEO Lawrence Page sold 20,833 shares of the company’s stock in a transaction that occurred on Wednesday, October 16th. The stock was sold at an average price of $893.61, for a total transaction of $18,616,577.13. The transaction was disclosed in a legal filing with the SEC, which can be accessed through this link.
Google Inc (NASDAQ:GOOG) is a global technology company focused on improving the ways people connect with information.
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