Results 1 to 9 of 9

Thread: Trading of Google stock halted - huge miss sends stock tanking

  1. #1
    Virus Guy Guest

    Trading of Google stock halted - huge miss sends stock tanking

    http://www.zerohedge.com/news/2012-1...660-125-so-far

    While GOOG is halted, the rest of the world goes on trading - with 165
    hedge funds seeking protection somewhere... QQQ is trading lower,
    implying a $660 price for GOOG or down 12.5% on the day... so far...

    GAAP operating income in the third quarter of 2012 was $2.74 billion, or
    19% of revenues. This compares to GAAP operating income of $3.06
    billion, or 31% of revenues, in the third quarter of 2011. Non-GAAP
    operating income in the third quarter of 2012 was $3.80 billion, or 27%
    of revenues. This compares to non-GAAP operating income of $3.63
    billion, or 37% of revenues, in the third quarter of 2011.

    For all of you that have the various google advertising domains in their
    hosts file - congratulations. We're all doing our part to kill this
    internet-polluting beast.

  2. #2
    David_B Guest

    Re: Trading of Google stock halted - huge miss sends stock tanking

    Virus Guy wrote:
    > http://www.zerohedge.com/news/2012-1...660-125-so-far
    >
    > While GOOG is halted, the rest of the world goes on trading - with 165
    > hedge funds seeking protection somewhere... QQQ is trading lower,
    > implying a $660 price for GOOG or down 12.5% on the day... so far...
    >
    > GAAP operating income in the third quarter of 2012 was $2.74 billion, or
    > 19% of revenues. This compares to GAAP operating income of $3.06
    > billion, or 31% of revenues, in the third quarter of 2011. Non-GAAP
    > operating income in the third quarter of 2012 was $3.80 billion, or 27%
    > of revenues. This compares to non-GAAP operating income of $3.63
    > billion, or 37% of revenues, in the third quarter of 2011.
    >
    > For all of you that have the various google advertising domains in their
    > hosts file - congratulations. We're all doing our part to kill this
    > internet-polluting beast.
    >



    Such a fall has made little impact if you look at the long-term performance!

    Stockmarket graph of Google http://goo.gl/E02CU

  3. #3
    Shadow Guest

    Re: Trading of Google stock halted - huge miss sends stock tanking

    On Thu, 18 Oct 2012 14:03:26 -0400, Virus Guy <Virus@Guy.com> wrote:

    I didn't understand a thing, but the "Google" and "Halted"
    words in the subject gave me a nice warm feeling.
    TY
    []'s
    --
    Don't be evil - Google 2004
    We have a new policy - Google 2012

  4. #4
    Virus Guy Guest

    Re: Trading of Google stock halted - huge miss sends stock tanking

    Shadow wrote:

    > I didn't understand a thing, but the "Google" and "Halted"
    > words in the subject gave me a nice warm feeling.


    The company that manages Google's SEC filings released google's 3'rd
    quarter results earlier than they should have on thursday. Normally,
    the results are released at (or just after) 4 pm on any given day (when
    trading on the stock exchanges is normally over for the day). Instead,
    the results were released around 12:30 pm, and the markets went ape-****
    and trading of goog was halted about an hour later, and didn't resume
    until about 3:30 pm.

    As for the reasons why google had a bad quarter:

    Google's Operating Income, which was expected to come in at $3.536
    billion printed at $2.736 billion, a 23% miss!

    GOOG has to see its operating income soar by nearly $1.5 billion in Q4
    just to resume its previous upward glidepath.

    Motorola, the loss-making handset maker Google acquired for
    $12.5-billion last year, suffered an operating loss of $527-million.

    Companies like Facebook and Google depend heavily on advertising
    (clicks) and as more people turn off their desktop PC's and their
    laptops and move to using only tablets and cell phones as their
    computing devices, the ability to sell advertising on small screens is
    questionable.

    I'm taking the following material from various published news stories.

    ==============

    While paid clicks increased by 33 per cent from the same time last year,
    Google’s cost-per-click (CPC) – what advertisers pay Google for each of
    their ads that gets clicked on – dropped by 15 per cent. That has
    analysts and observers worried about how Google’s business might get
    disrupted as the world shifts from desktops to mobile.

    The rapid shift to mobile is continuing to pull down Google's
    profitability.

    Google has seen a decline in CPC for four consecutive quarters, but its
    CPC rose for eight consecutive quarters before it started falling. The
    reason the downward trend in CPC is sticking is because mobile is taking
    over the web.

    "I keep saying Facebook isn't the only one that has a mobile
    issue—Google does, too," said Colin Gillis, an analyst for BCG. "If you
    are an investor in Facebook, mobile is priced into earnings. I don't
    think mobile in Google is priced in."

    As consumers migrate to primarily mobile platforms, so do their Google
    searches. Advertisers, however, aren't so quick to follow.

    "The short of it is mobile ad formats are different and quite frankly,
    people are using it in a different way and advertisers are not convinced
    they should be bidding up for keywords the same way on mobile the way
    they do on desktop," said Rick Summer, a technology analyst at
    MorningStar. "It’s a pretty immature advertising ecosystem."

    Advertisers are not willing to pay as much for mobile ads because they
    simply are not as effective as ads on a desktop, Gillis said. And the
    mobile ads that advertisers are buying are a lot cheaper than ads on a
    desktop, pricing at 56 cents on the dollar, he said.

    While Google's price drop in CPC might be a sign that other companies
    exposed to mobile ad issues could also experience a slowdown, it doesn't
    mean that the Internet advertising market is doomed, Gillis said.

    The fact is, advertising on mobile is still very new and the ad format
    is significantly cheaper so companies aren't generating as much revenue
    from mobile ads, but the lull isn't permanent, Summer said.

    "For the quarter, companies exposed to this certainly could see
    near-term weakness," Summer said.

  5. #5
    Virus Guy Guest

    Re: Trading of Google stock halted - huge miss sends stock tanking

    David_B wrote:

    > > GAAP operating income in the third quarter of 2012 was $2.74
    > > billion, or 19% of revenues. This compares to GAAP operating
    > > income of $3.06 billion, or 31% of revenues,

    >
    > Such a fall has made little impact if you look at the long-term
    > performance!


    The trend towards more people experiencing the internet through their
    smart phone and the effect that has on advertising revenue for companies
    like google has not yet been "priced in" for the value of the stocks of
    those companies - like it has been priced in for the value of Faecebook.

    If you have shares of GOOG (and AAPL) the time to sell is -> soon.

    ===========================

    Here's Why Google Could Disappear in Five Years:

    http://m.cnbc.com//id/49477730

    CNBC.com | October 19, 2012 | 12:25 PM EDT

    Google may be on its way out as the dominant player in search, according
    to one analyst — and could even "disappear" in as little as five to
    eight years if the competitive pressures that ultimately claimed other
    search giants start to take root.

    In the wake of a surprisingly weak earnings report, Eric Jackson,
    Ironfire capital founder and managing member, said Google could easily
    find itself fending off the woes that eventually took hold at embattled
    Yahoo!

    "They could disappear in five to eight years and disappear in the sense
    that Yahoo used to be the king of search. Now, for all intents and
    purposes, Yahoo has disappeared," Jackson said Thursday on CNBC's
    "Squawk on the Street".

    The primary reason Google may lose its search dominance is because the
    company is facing the same mobile problem as Facebook, Jackson said.
    Google Has the Same Mobile-Ad Problem as Facebook.

    "If Facebook saw a deceleration in their sales and their growth lead to
    a halving of their stock price...why wouldn't it also be something that
    is very negative for Google as it continues to play out?" he said.

    Google reported in its quarterly earnings, which were released
    Wednesday, that its cost per click (CPC) was down 15 percent in the
    third quarter.

    While the company reported that ad sales had increased, it is likely
    that CPCs will continue to decrease, Jackson said.

    The reason? Consumers are searching more and more on mobile devices, yet
    advertisers aren't as willing to buy advertisements formatted for mobile
    devices, because these ads are not as prominently displayed.

    Also, mobile ads tend to run more cheaply than ads made for desktop
    computers.

    "Obviously, everyone is focusing on CPC...Profitability is way down for
    five quarters now, for Google, quarter after quarter. Paid clicks, the
    rate of growth is slowing," Jackson said. "We're facing a scenario,
    where I think in a couple of years, we might hit peak search."

    The rise of mobile will lead consumers to want to search in new ways,
    which may open the door for others to enter the search space. The number
    one contender may just be Apple — one of Google's fiercest competitors,
    he said.

    "I think that there is a big opportunity right now for someone to step
    forward and assert themselves for a new way of getting people
    information for doing search in a mobile world," Jackson said.

    "I don't think typing in a blue box is the ideal format for a mobile
    world. And I think the best opportunity out there to displace Google in
    this area is probably Apple's Siri."

    However, Google could still turn things around, and the company is doing
    some things to make up for the decline in CPC.

    Google shopping, for example, has been changed to only show paid results
    in a way that should generate a lot of money for the company, Jackson
    said. This too, however, could pose a new problem for the search giant.

    "The question is, is that move going to degrade the service, is that
    sort of the tip of the iceberg?" he said. "And are we going to start to
    see paid search results in other areas of Google and is that going to
    degrade the experience?"

  6. #6
    Bear Guest

    Re: Trading of Google stock halted - huge miss sends stock tanking

    David_B <David_B@nomail.afraid.org> wrote in
    news:dYGdnUs9KqP69B_NnZ2dnUVZ8qKdnZ2d@bt.com:

    > Virus Guy wrote:
    >> http://www.zerohedge.com/news/2012-1...660-125-so-far
    >>
    >> While GOOG is halted, the rest of the world goes on trading - with 165
    >> hedge funds seeking protection somewhere... QQQ is trading lower,
    >> implying a $660 price for GOOG or down 12.5% on the day... so far...
    >>
    >> GAAP operating income in the third quarter of 2012 was $2.74 billion,
    >> or 19% of revenues. This compares to GAAP operating income of $3.06
    >> billion, or 31% of revenues, in the third quarter of 2011. Non-GAAP
    >> operating income in the third quarter of 2012 was $3.80 billion, or 27%
    >> of revenues. This compares to non-GAAP operating income of $3.63
    >> billion, or 37% of revenues, in the third quarter of 2011.
    >>
    >> For all of you that have the various google advertising domains in
    >> their hosts file - congratulations. We're all doing our part to kill
    >> this internet-polluting beast.
    >>

    >
    >
    > Such a fall has made little impact if you look at the long-term
    > performance!
    >
    > Stockmarket graph of Google http://goo.gl/E02CU


    What happened in 2008 to make Google lose so much value?

    Jax
    --
    Bear Bottoms
    http://bearware.info

  7. #7
    David_B Guest

    Re: Trading of Google stock halted - huge miss sends stock tanking

    Bear wrote:
    > David_B <David_B@nomail.afraid.org> wrote in
    > news:dYGdnUs9KqP69B_NnZ2dnUVZ8qKdnZ2d@bt.com:
    >
    >> Virus Guy wrote:
    >>> http://www.zerohedge.com/news/2012-1...660-125-so-far
    >>>
    >>> While GOOG is halted, the rest of the world goes on trading - with 165
    >>> hedge funds seeking protection somewhere... QQQ is trading lower,
    >>> implying a $660 price for GOOG or down 12.5% on the day... so far...
    >>>
    >>> GAAP operating income in the third quarter of 2012 was $2.74 billion,
    >>> or 19% of revenues. This compares to GAAP operating income of $3.06
    >>> billion, or 31% of revenues, in the third quarter of 2011. Non-GAAP
    >>> operating income in the third quarter of 2012 was $3.80 billion, or 27%
    >>> of revenues. This compares to non-GAAP operating income of $3.63
    >>> billion, or 37% of revenues, in the third quarter of 2011.
    >>>
    >>> For all of you that have the various google advertising domains in
    >>> their hosts file - congratulations. We're all doing our part to kill
    >>> this internet-polluting beast.
    >>>

    >>
    >>
    >> Such a fall has made little impact if you look at the long-term
    >> performance!
    >>
    >> Stockmarket graph of Google http://goo.gl/E02CU

    >
    > What happened in 2008 to make Google lose so much value?
    >
    > Jax



    Global markets saw record falls in 2008 as the financial turmoil and
    economic slowdown ended the stock market boom.
    Britain's FTSE 100 had its worst year on record, down 31.3%, with
    similar falls in Paris and Frankfurt.
    Shanghai was one of the worst-hit major markets, ending the year 65%
    lower, which was also a record loss.
    In New York, the Dow Jones was up slightly on the day, but it has lost
    almost 34% of its value in 2008, its worst year since 1931.

    http://news.bbc.co.uk/1/hi/business/7805644.stm

    I hope that is of some help!

  8. #8
    Bear Guest

    Re: Trading of Google stock halted - huge miss sends stock tanking

    David_B <David_B@nomail.afraid.org> wrote in
    news:ALCdnWhDfPsGgBrNnZ2dnUVZ7o6dnZ2d@bt.com:

    > Bear wrote:
    >> David_B <David_B@nomail.afraid.org> wrote in
    >> news:dYGdnUs9KqP69B_NnZ2dnUVZ8qKdnZ2d@bt.com:
    >>
    >>> Virus Guy wrote:
    >>>> http://www.zerohedge.com/news/2012-1...lies-goog-660-
    >>>> 125-so-far
    >>>>
    >>>> While GOOG is halted, the rest of the world goes on trading - with
    >>>> 165 hedge funds seeking protection somewhere... QQQ is trading lower,
    >>>> implying a $660 price for GOOG or down 12.5% on the day... so far...
    >>>>
    >>>> GAAP operating income in the third quarter of 2012 was $2.74 billion,
    >>>> or 19% of revenues. This compares to GAAP operating income of $3.06
    >>>> billion, or 31% of revenues, in the third quarter of 2011. Non-GAAP
    >>>> operating income in the third quarter of 2012 was $3.80 billion, or
    >>>> 27% of revenues. This compares to non-GAAP operating income of $3.63
    >>>> billion, or 37% of revenues, in the third quarter of 2011.
    >>>>
    >>>> For all of you that have the various google advertising domains in
    >>>> their hosts file - congratulations. We're all doing our part to kill
    >>>> this internet-polluting beast.
    >>>>
    >>>
    >>>
    >>> Such a fall has made little impact if you look at the long-term
    >>> performance!
    >>>
    >>> Stockmarket graph of Google http://goo.gl/E02CU

    >>
    >> What happened in 2008 to make Google lose so much value?
    >>
    >> Jax

    >
    >
    > Global markets saw record falls in 2008 as the financial turmoil and
    > economic slowdown ended the stock market boom. Britain's FTSE 100 had
    > its worst year on record, down 31.3%, with similar falls in Paris and
    > Frankfurt. Shanghai was one of the worst-hit major markets, ending the
    > year 65% lower, which was also a record loss. In New York, the Dow Jones
    > was up slightly on the day, but it has lost almost 34% of its value in
    > 2008, its worst year since 1931.
    >
    > http://news.bbc.co.uk/1/hi/business/7805644.stm
    >
    > I hope that is of some help!


    Dave thanks for the info. So it wasn't an internal weakness at Google but
    the result of market movements.

    Jax
    --
    Bear Bottoms
    http://bearware.info

  9. #9
    David_B Guest

    Re: Trading of Google stock halted - huge miss sends stock tanking

    Bear wrote:
    > David_B <David_B@nomail.afraid.org> wrote in
    > news:ALCdnWhDfPsGgBrNnZ2dnUVZ7o6dnZ2d@bt.com:
    >
    >> Bear wrote:
    >>> David_B <David_B@nomail.afraid.org> wrote in
    >>> news:dYGdnUs9KqP69B_NnZ2dnUVZ8qKdnZ2d@bt.com:
    >>>
    >>>> Virus Guy wrote:
    >>>>> http://www.zerohedge.com/news/2012-1...lies-goog-660-
    >>>>> 125-so-far
    >>>>>
    >>>>> While GOOG is halted, the rest of the world goes on trading - with
    >>>>> 165 hedge funds seeking protection somewhere... QQQ is trading lower,
    >>>>> implying a $660 price for GOOG or down 12.5% on the day... so far...
    >>>>>
    >>>>> GAAP operating income in the third quarter of 2012 was $2.74 billion,
    >>>>> or 19% of revenues. This compares to GAAP operating income of $3.06
    >>>>> billion, or 31% of revenues, in the third quarter of 2011. Non-GAAP
    >>>>> operating income in the third quarter of 2012 was $3.80 billion, or
    >>>>> 27% of revenues. This compares to non-GAAP operating income of $3.63
    >>>>> billion, or 37% of revenues, in the third quarter of 2011.
    >>>>>
    >>>>> For all of you that have the various google advertising domains in
    >>>>> their hosts file - congratulations. We're all doing our part to kill
    >>>>> this internet-polluting beast.
    >>>>>
    >>>>
    >>>>
    >>>> Such a fall has made little impact if you look at the long-term
    >>>> performance!
    >>>>
    >>>> Stockmarket graph of Google http://goo.gl/E02CU
    >>>
    >>> What happened in 2008 to make Google lose so much value?
    >>>
    >>> Jax

    >>
    >>
    >> Global markets saw record falls in 2008 as the financial turmoil and
    >> economic slowdown ended the stock market boom. Britain's FTSE 100 had
    >> its worst year on record, down 31.3%, with similar falls in Paris and
    >> Frankfurt. Shanghai was one of the worst-hit major markets, ending the
    >> year 65% lower, which was also a record loss. In New York, the Dow Jones
    >> was up slightly on the day, but it has lost almost 34% of its value in
    >> 2008, its worst year since 1931.
    >>
    >> http://news.bbc.co.uk/1/hi/business/7805644.stm
    >>
    >> I hope that is of some help!

    >
    > Dave thanks for the info. So it wasn't an internal weakness at Google but
    > the result of market movements.
    >
    > Jax


    That's how it appeared to me, Jax.

    I've not got rid of *my* stake in Google! (albeit quite small!)


Thread Information

Users Browsing this Thread

There are currently 1 users browsing this thread. (0 members and 1 guests)

Posting Permissions

  • You may not post new threads
  • You may not post replies
  • You may not post attachments
  • You may not edit your posts
  •