Barron's Questions Google's Future
Barron's, the financial weekly, cover story last weekend questions Google's future and its stockprice.
Seeing the cover headline brought back memories of Barron's March 2000 story about the cash "Burn Rates" of publicly traded Internet companies. Writer Jack Willoughby's indepth reporting and analysis demonstrated that 90 percent of the then traded Internet companies would run out of money in coming months and questioned the validity of their respective market valuations.
Willoughby's story started the now famous crash of Internet stock prices. By the end of 2000 most Internet stocks had valuation drops of greater than 80% from pricing at the time the article appeared.
I will not analyze writer Jacqueline Doherty's article, but will leave you with the cover quote: "Google shares have begun to take on water in recent weeks and they are likely to sink further, perhaps as low as 188 from last week's 360. Blame click fraud, rising competition from Microsoft and Yahoo!, plus a nagging question: How well do Google ads actually work?"
Jupitermedia CEO Alan Meckler
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