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Old 07.01.2010, 15:32
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Re: Apple - why we love the stock ...

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Back to the stock topic. Anyone has any opinion on the GOOGLE and APPLE price trends? Google is quite expensive now.
Recently I went through a pricing exercise for Apple and Google, based on the last 10 years for Apple, and less than that for Google as they only IPOed in 2004 (I think it was)

From that exercise Apple are slightly overpriced now, whereas Google is at less than half its value.

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Google price dropped after the new phone released... however many tech people think that GOOGLE will dominate the future tech world...I dont understand much their reasonings but seems Google has the right concept on future internet usage etc. Any one can explain bit here?
Google might start to get into more and more antitrust problems, and this can hurt investor confidence, but also might impede their growth. They already have something like 70% of the online ad morket. Pushing things like Android seems to me to be an attempt to increase the number of eyeballs looking at their ads, but also maybe to expand the market of online ads itself. But it seems to me that they may be starting to saturate in terms of share.

On the other hand, if ad spending increases, then their income should increase in proportion to this even if they don't expand their market share.
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