META - Google: Strong Earnings And Dividend-Fueled Bull Run Clear The Path To $200 And Beyond
2024-05-06 14:48:56 ET
Summary
- Google's stock has surged after a major drop in 2022 and AI doubts in 2023.
- Google's Q1 earnings report showed surprisingly strong performance in Search, YouTube, and Cloud, leading to positive revisions in earnings estimates and more potential upside for the stock.
- The company's decision to introduce a dividend could lead to a higher P/E multiple over time and increased demand for its stock.
- My year-end 2024 and 2025 price targets for Google.
After a brutal 2022/early 2023, Google stock ( GOOG ) (GOOGL) has been on a tear. It was only last February that Google's AI tool Bard gave a wrong answer in a presentation, sending the company's market cap down $100 billion in one day. Panicked analysts proclaimed the end of Google, and fund managers dumped the stock. But since then, business has never been better, with GOOG now up roughly 77% from that fateful Bard presentation. Last month, Google soared after delivering a huge earnings beat, driven by YouTube and search. Google also just did something that I thought was incredibly savvy, which was to declare its first-ever dividend....
Google: Strong Earnings And Dividend-Fueled Bull Run Clear The Path To $200 And Beyond