GOOG Target Raised To $630
Nobody really wants to come out looking too Pollyanna on Wall Street, even if the numbers are there. An $800 per share Google is whispered, or tossed out at the pub and reeled back in by the words “just kidding.”
Analyst firm, Piper Jaffray, is the bravest, raising the GOOG price target this week to $630, which still sounds a bit silly.
Taking it too far above an astounding $500 bubbles out a collective gasp, and the bearish step in shortly to burst those bubbles. But, with price to earnings ratios, and all that, Google has nowhere to go but up. Right now, there’s no real ceiling in sight.
Yahoo’s not gaining.
MSN is losing.
Google controls, by some estimates, as much as 70 percent of the search market and is gaining. Checkout, their answer to PayPal, was a big success. Radio ads are now on the block. YouTube, YouTube, YouTube.
So, Piper Jaffray’s Safa Rashtchy is the bravest on Wall Street. Consistent too. Last year Rashtchy put the price target at $600.
The optimism was contagious, sending shares up to $475 until Google announced it’s 4Q 2005 numbers, which were for the first time below estimates due to miscalculations of taxes and international currency exchanges. That misstep dropped shares to $330, and it took most of the year to recover.
In November, GOOG set an all time high at $513, until party-pooper realists starting pulling on the reins, and pulling back the price with a good ol’ dose of cool-yer-jets. Currently, Google is trading around $470.