GOOG Google: View weakness as buying opportunity - Bear Stearns (399.46 )
Bear Stearns notes that GOOG finished the week down 64 points (-14%) from the prior week, effectively wiping out $20 bln in enterprise value. Firm says the sell-off was due to several factors, including: 1) Yahoo's Q4 earnings' underperformance, 2) news reports that GOOG is fighting a DoJ subpoena, and 3) current and potential negative articles on GOOG's valuation from the financial press. Firm views the weakness as a buying opportunity, and advises both short-term and long-term investors to take advantage of the weakness and buy the stock, as they continue to believe that GOOG will report robust Q4 results that should likely exceed consensus estimates, which should provide upside for the stock.
Bear Stearns notes that GOOG finished the week down 64 points (-14%) from the prior week, effectively wiping out $20 bln in enterprise value. Firm says the sell-off was due to several factors, including: 1) Yahoo's Q4 earnings' underperformance, 2) news reports that GOOG is fighting a DoJ subpoena, and 3) current and potential negative articles on GOOG's valuation from the financial press. Firm views the weakness as a buying opportunity, and advises both short-term and long-term investors to take advantage of the weakness and buy the stock, as they continue to believe that GOOG will report robust Q4 results that should likely exceed consensus estimates, which should provide upside for the stock.