Why do these rear view looking "analysts" have to ruin a good thing????
Update: Make That Two Analysts With $1,000 Targets On Google
It’s the latest Internet meme: raise your price target on Google to $1,000.OK, so maybe we’re not talking Harlem Shakes videos here, but there does appear to be a trend forming.
As I noted previously, Bernstein Research analyst Carlos Kirjner has upped his target on the Internet search engine to $1,000. But it turns out he has company. CLSA Asia-Pacific Markets analyst James Lee likewise is showing the stock some love this morning, reiterating his Buy rating and upping his target to $1,000, from $900.
“We expect the [cost per click] improvement to accelerate on the back of Google’s recent announcement of a new ad management system,” Lee writes in a research note. “The purpose of this change is to simplify the ad-buying process in the multi-screen environment and increase the adoption of mobile search. The current system is segmented and complicated, barring less-sophisticated advertisers like local merchants from participating.”
Lee says the new system will have multiple beneficial effects:
- Improve mobile pricing through wider adoption.
- Drive mobile CPCs on par or higher with the desktop.
- Alleviate concerns that desktop volume might be slowing or declining.
GOOG today is up $6.82, or 0.9%, to $799.28.
