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GOOG Down Ahead Of Earnings
The market trying to find its footing as reports of an increase in jobless benefit claims rattle the markets once again. Shares of GOOG are down ahead of tonight’s third quarter earnings announcement (4:30pm ET). Other upcoming catalysts include continued Android growth; the release of Chrome operating system; regaining momentum in China; as well as progress in other newer initiatives (Google Me, gaming, social, etc.) The stock trades at approximately 15x Enterprise Value / EBIT, inexpensive relative to historical trading levels and the broader Internet group.Join Us LIVE For Google Earnings Coverage (Business Insider)
For up to-the-minute coverage on the earnings conference call and related commentary, join us at SAI.
Trading Ahead Of Google Earnings (CNBC)
Google reports quarterly earnings tonight after the closing bell. Sentiment seems to be weighted towards the long-term bullish side with investors anticipating a volatile ride through earnings. Most are excited about the adoption of the Android platform. In terms of the stock, on earnings news the stock typically moves down 10%, but only moves up 4% in a beat. What investors are wanting to hear are thoughts on expense control (or lack there of).
Cautious On Google Going Into Earnings (BloggingStocks)
Volume in GOOG over the last week hasn’t been all that great. One thing to consider going in to earnings was that the last time around, the stock was punished after missing estimates. And another thing, although Intel isn’t a directly-related business, it is a tech company, and the stock sold off yesterday and isn’t doing a whole lot today.
Google Expected To Show Good Times Are Back (BusinessWeek)
But is that a good thing? The company has been spending like it’s going out of style. Something that investors aren’t too tolerant of, especially when they are robotic cars and wind farms that don’t pertain even remotely to the core business. Google’s capital expenditures have already totaled $715 million through the first half of the year. Expect more investment to hit the bottom line. Analysts anticipate earnings of $6.69 per share (excluding stock compensation) on revenue of $5.27 billion.
Analysts Will Be Focused On Expenses (Benzinga)
Wall Street is unusually anxious ahead of Google’s third-quarter earnings, as its spending spree erodes investor confidence. Operating expenses, capital investments and employee count are notable details that analysts will be paying attention to. Investors don’t mind spending, if you’re growing revenue.
Mayer Building Serendipity Engine (eWeek)
Marissa Mayer, Google’s longtime vice president of search and user experience, was recently moved to run Google’s geo/local business unit. Considering if you boil down the task of building a serendipity engine using using the augmented humanity technology, Clint Boulton at eWeek believes it’s not just a promotion, it’s an honour to work on local search in the near terms, and to move the artificial intelligence needle forward for the future.
Sony Accepting Developers For Google TV (AndroidGuys)
Sony is now accepting registration for developers who want to get in on their Sony Internet TV. This is the first HDTV to incorporate the much-anticipated Google TV. For Google TV fans it means that developers can soon begin making killer apps for the Sony Internet TV, and of course, other Google TV devices. I’m not sold, but it would be nice to jump from TV shows to web pages and back.
NBC Universal Pulls The Plug On Google (AdWeek)
Google has lost its ad-sales partnership with NBC Universal. The partnership began in 2008 and allowed Google customers to buy TV spots using its self-service website. The NBC agreement bolstered the program while the two companies split the revenue and collaborated on marketing and research. This month the company said Google TV will include CNBC Real-Time, an application to track stock prices and financial news from NBC Universal’s CNBC cable news channel. That partnership will remain.
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