Anyone who's looking to invest a little Christmas money might want to listen up. While we're neither backing nor attacking this advice, Hudson Square Research has initiated coverage on Google and Yahoo, labeling them both a "buy" and setting price targets significantly above the stocks' current prices.
The firm's expectations are somewhat lower for Yahoo, as you might have guessed. Hudson Square Research established a price target of $19.00, which isn't spectacular compared to today's closing price of $16.61. Still, an increase is an increase, and a gain of 14.4 percent would definitely beat current interest rates.
Hudson Square Research analyst Rory Maher explained according to Eric Savitz, "We believe ad buys on traditional media will continue to move online. Yahoo benefits from this increased spend even if growth rates lag some of its faster-growing online competitors. In particular, we believe more TV ad dollars should move online over the next 3-5 years as it becomes easier to implement and track large online buys."
Google's stock, meanwhile, is supposed to reach $750.00, which would make for an impressive leap of 24.8 percent over its closing price, $601.00.
Maher reasoned, "Continued product improvements, accelerated shift of local advertising dollars online, and growth from emerging countries should drive double-digit search growth over the medium term," while "mobile searches are quickly becoming material," as well.
Then here's a bit of not-entirely-unrelated good news for everybody: the Dow established a new two-year high today.