Northern, WI 02/20/2013 (usmarketbuzz) – Google Inc. (NASDAQ:GOOG) has triumphed again, as its shares crossed the $800 mark. For the first time since it went public in the month of August 2004, its shares have hit $806.85, rising by 1.8%. In the past twelve months alone, Google stock has appreciated in value by almost 33% whereas the Standard & Poor’s estimate for most top 500 companies during the same time period was 12%.
Google has grabbed 67% of the search engine market in January, with Microsoft Corporation (NASDAQ:MSFT) and Yahoo! Inc (NASDAQ:YHOO) claiming only 30% of the search engine market. While Google stock has gained, Apple Inc. (NASDAQ:AAPL) shares have steadily declined and are now trading at 8.4%; less than its previous year’s market price.
According to market experts Apple Inc (NASDAQ:AAPL)’s stock is trading at an unprecedented discount of 56% to Google, when you look at the price-to-earnings ratio. This is the highest gap between the stocks of the two companies, since the iPhone was introduced in July 2006.
Google Inc., headquartered in Mountain View, California has dominated the online & digital advertisement market in the U.S., cornering more than 41% of the marketing revenues in 2012. When you consider the mobile advertisement revenues, it commands a market share of 53%, while Facebook Inc. (NASDAQ:FB), the world’s largest social media company, barely amounts to 8.4%.
As if that is not enough, Google also dominates the search engine-powered advertisement market, garnering 75% of the market’s revenue potential.
The company also earns when it runs advertisements next to the search results, on the search engine results page. It also continues to evolve new ways to reach its users on behalf of its clients and advertisers, through all the new devices that regularly hit the market, like smart phones and tablets. It also facilitates the running of different advertisements for different market segments at different times to help companies reach their targeted audience.
So, it is no wonder that Google, a company that is ready to embrace change and innovate is going from strength to strength, enriching the lives of everyone connected to it!
The shares of Google Inc. (NASDAQ:GOOG) were up 1.76% to close at $806.85. The shares of Microsoft Corporation (NASDAQ:MSFT) were up 0.95% to close at $28.05. The shares of Facebook Inc. (NASDAQ:FB) were up 2.15% to close at $28.93. The shares of Yahoo! Inc (NASDAQ:YHOO) were up 1.31% to close at $21.29.
Top 3 Gainers: Zynga (NASDAQ:ZNGA), Eros International (NYSE:EROS), Borqs Technologies’ (BRQS)
Zynga (NASDAQ:ZNGA) is up 2.5% after Benchmark reiterated its Buy rating in a look-ahead at Q2 earnings. The firm’s expecting a beat and solid guidance for Q3, and it’s raising its guidance for the fiscal year.
Tailwinds from the pandemic won’t dissipate easily, Benchmark suggests, and the videogame maker’s acquisition of Peak (and with it new “forever franchises” in Toon Blast and Toy Blast) will drive audience, bookings, margins and free cash flow, it says. The firm has an $11 price target, now implying 14% upside.
Eros International (NYSE:EROS) is up 5.8% today, making up the last week’s lost ground, after news that its streaming service Eros Now is partnering with Sony India (SNE +2.3%).
That will mean Eros Now’s app is pre-installed on selected Sony smart televisions in India, along with availability on a large base of existing models (Bravia E series and newer).
The country over the past year has seen a 25% growth in demand for smart TVs, fueled by overall industry growth of 15%, to a record 15M units/year.
Borqs Technologies’ (BRQS) personal safety tracker sees strong market with increased orders from the electronics retail chain in the US.
The boost in product demand comes ahead coronavirus pandemic that provides company to expect delivery of 250K units this year. It reflects over 3x the volume delivered in 2019, the year of its launch.
Borqs’ mobile personal safety devices designed particularly for senior citizens come with panic button, location tracking, and fall detection.
Biotech movers: Pfizer Inc. (PFE), Celgene Corporation (CELG)
Pfizer Inc. (PFE) said on Thursday it received a request for documents as part of a U.S. investigation related to quality issues involving the manufacture of auto-injectors at its Meridian Medical Technologies site.
Pfizer, in a regulatory filing, said it would be producing records in response to the civil investigative demand from the U.S. Attorney’s office for the Southern District of New York.
Meridian, a unit of Pfizer that manufactures EpiPen injectors used to deliver an emergency allergy antidote, has been hit by a series of manufacturing problems in recent years. Mylan NV, which markets EpiPens, has recalled tens of thousands of the devices after complaints that some had failed to activate.
Bristol-Myers Squibb has been meeting with shareholders in Boston and New York over the last two weeks to try to salvage its $74 billion purchase of cancer drugmaker Celgene Corporation (CELG), the biggest acquisition announced so far this year.
The deal, announced in January, was hard sell to Bristol shareholders from the start. The acquisition adds about $32 billion in fresh debt to Bristol’s balance sheet while assuming $20 billion in Celgene’s debt, the companies said at the time. After factoring in debt, the acquisition was the largest health-care deal on record, according to data compiled by Refinitiv.
Now, hedge funds Wellington Management and Starboard Value say the deal doesn’t sit well with them. Bristol has sent executives to New York to meet with institutional investors several times over the last two weeks and met with investors in Boston on Wednesday and Thursday, according to a person who briefed on the meetings.
Bristol-Myers declined to comment.
Big Losers: Corbus Pharmaceuticals Holdings, Inc. (CRBP), Petróleo Brasileiro S.A. – Petrobras (PBR)
Corbus Pharmaceuticals Holdings, Inc. (CRBP)’s shares slumped as much as 16% to $6.94 on huge volume. The stock has been showing intense sell off suddenly after a bearish article on seekingalph.com by Alpha Exposure.
The article stated that Corbus has ties to investors convicted of or alleged to have committed securities fraud. We believe lenabasum has failed its major trials in SSc and CF. Lenabasum was also denied Breakthrough Therapy Designation in SSc. We believe lenabasum will fail in its pivotal SSc and Phase 2b CF trials. We are short Corbus with a price target of $0.50.
Petróleo Brasileiro S.A. – Petrobras (PBR) is expanding its ambitious divestment program and has “bold” plans for sales, the Brazilian state-run oil company’s chief executive said after the firm posted its first annual profit in five years.
On a conference call with analysts to discuss fourth-quarter results, CEO Roberto Castello Branco said selling non-core assets will be key to deleveraging.
Petrobras, as the company is known, can reduce its ratio of net debt to earnings before interest, taxes, depreciation and amortization, or EBITDA, to 1.5 or even to 1, he added.
The University of Chicago-educated CEO, who took the reins in early January, has long been vocal about the need to slim down the sprawling firm and focus on core activities such as exploration and production. Thursday’s comments were some of his most assertive on the matter.