Why Investors Should Go Long Google [View article]
Thank you for the question. The stock is falling primarily because of its poor Q3 performance, denting investor sentiment. Google's Q3 net profit is down 20% from 2.73 billion (last year Q3) to 2.18 billion. But its revenues have gone up 45% and is expected to go up even more in the coming years because the internet search market (which is the core business of Google) is growing. So, while the P/E ratio estimates have been revised downwards for the coming years, the increasing revenues are expected to give the earnings, and consequently the price a boost.
Why Investors Should Go Long Google [View article]