SteveW

Is Google's Goose Cooked?

It is ridiculous that you think GOOG should be trading at a lower P/E than MSFT and CSCO. GOOG's current and future earnings growth dwarfs that of CSCO and MSFT and thus is should have a higher multiple.

And as far as GOOG's 2009 estimates being too high...you could say that about practically every company in the S&P 500 and definitely every tech company. Estimates will continue to come down across the board.

Four Commonsense Clues to a Genuine Market Bottom

The biggest factor by far is housing. Until housing stabilizes, banks will not lend and will continue to hoard cash. The economy will continue to deteriorate and earnings estimates will continue to be lowered across all sectors. Home prices don't need to appreciate to reverse this trend. But foreclosures and inventory have to come down significantly and prices have to flatten.