Hey, How About Some Balance? Not Likely

Posted: December 15, 2005 in Uncategorized
I’ve officially changed the name of my blog (see top of page) in anticipation citing a quick quote by someone that thinks GOOG share price is crazy.
Seth Jayson of Motley Fool writes:
     I’m just saying "hmmm." When a $120 billion company with a P/E near 100 continues flying on both good news and bad, something’s just not right.
Normally, I’d agree wholeheartedly.
But not in this case.
What Seth is missing is that GOOG (and everyone else in online advertising) is not reacting to either good or bad news but, rather, performance… performance being driven by the one of the biggest — and most obvious — transitions from traditional-to-digital.
With $400-$600 billion out for grabs, Google, Yahoo, and the MSN division will be $20 billion entities before anyone (including Seth) knows it.
P.S.  Kinda the same thing as Apple is going through — is AAPL ridiculously over-priced or did Apple just figure out how to distribute copyrighted material in a digital world and is part of a much bigger movement?

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