Google Inc. Fourth Quarter Earnings Sneak Peek
S&P 500 (NYSE:SPY) component Google, Inc. (NASDAQ:GOOG) will unveil its latest earnings on Thursday, January 19, 2012. Google provides search and advertising services and makes this information freely available to anyone with an Internet connection.
Google, Inc. Earnings Preview Cheat Sheet.
Wall St. Earnings Expectations: The average estimate of analysts is for profit of $9.03 per share, a rise of 15.6% from the company’s actual earnings for the same quarter a year ago. During the past three months, the average estimate has moved down from $9.06. Between one and three months ago, the average estimate moved down. It has been unchanged at $9.03 during the last month. Analysts are projecting profit to rise by 20.7% versus last year to $31.75.
Past Earnings Performance: The company is looking to top estimates for the third straight quarter. Last quarter, it reported net income of $8.33 per share against a mean estimate of profit of $7.59, and the quarter before, the company exceeded forecasts by 87 cents with net income of $7.66 versus a mean estimate of profit of $6.79.
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Wall St. Revenue Expectations: On average, analysts predict $8.4 billion in revenue this quarter, a rise of 31.9% from the year ago quarter. Analysts are forecasting total revenue of $29.32 billion for the year, a rise of 33.3% from last year’s revenue of $22 billion.
Analyst Ratings: Analysts are bullish on this stock with 27 analysts rating it as a buy, none rating it as a sell and one rating it as a hold.
A Look Back: In the third quarter, profit rose 25.9% to $2.73 billion ($8.33 a share) from $2.17 billion ($6.72 a share) the year earlier, exceeding analyst expectations. Revenue rose 33.4% to $9.72 billion from $7.29 billion.
The company has enjoyed double-digit year-over-year percentage revenue growth for the past four quarters. Over that span, the company has averaged growth of 29.7%, with the biggest boost coming in the most recent quarter when revenue rose 33.4% from the year earlier quarter.
The company has seen net income rise in two straight quarters. In the second quarter, profit rose 36.1%.
Competitors to Watch: Microsoft Corporation (NASDAQ:MSFT), Yahoo! Inc. (NASDAQ:YHOO), Baidu.com, Inc. (NASDAQ:BIDU), Apple Inc. (NASDAQ:AAPL), AOL, Inc. (NYSE:AOL), Amazon.com, Inc. (NASDAQ:AMZN), Adobe Systems Incorporated (NASDAQ:ADBE), Demand Media Inc (NYSE:DMD), IAC/InterActiveCorp (NASDAQ:IACI), and Answers Corporation (NASDAQ:ANSW).
Stock Price Performance: During October 18, 2011 to January 13, 2012, the stock price had risen $34.48 (5.8%) from $590.51 to $624.99. The stock price saw one of its best stretches over the last year between October 3, 2011 and October 14, 2011 when shares rose for 10-straight days, rising 19.4% (+$96.16) over that span. It saw one of its worst periods between November 15, 2011 and November 25, 2011 when shares fell for eight-straight days, falling 8.7% (-$53.56) over that span.
(Company fundamentals by Xignite Financials. Earnings estimates provided by Zacks)
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