dNavigator

October 14, 2007

Posted by dNavigator

Do you think Google at 637 a share is still cheap?

Should I wait for a price drop?
Get in now
Or has the ship sailed and I'm to late to make a play?

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toomeius

October 15, 2007

Posted by toomeius

5 stars ( 2 ratings )

answer these questions:
1) what is goog's current eps?
2) what is goog's earnings growth?
3) what do you think their earnings projections will be?
4) give them a fair multiple

by my extremely conservative estimates: projected eps for 2008 will be $18/sh. %30 growth. fair multiple of 1.5. $18 x 30 x 1.5 = 810

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lennysan

October 14, 2007

Posted by lennysan

3 stars ( 4 ratings )

If you hold for the long term, it doesn't really matter where you buy it. I personally think that Google is capable of more amazing things then any other company and that 637 could be peanuts years from now. It could very well drop at some point, but over the long term I think it should go much higher.

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goldperal

October 15, 2007

Posted by goldperal

3 stars ( 1 rating )

I'd wait for the price drop. Max pain is at $580 and barring a $4.25 earnings number, the stock will head in that direction short term. This stock has run $120 in a month, beating consensus estimates is already more than priced in. It's very likely you'll get a chance to buy in lower.

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