Insanity Strkes Again!

[on-ramp]

at first I thought you meant 310 Million so i had to go read the story..
3.1 Billion is 3100 Million..

[Porsche-O-Phile]

I still can't fathom why that stock hasn't split yet. . . At practically $500 a share it's a big deterrent.

Even so, I'd been watching it and considering getting into it, but I think there are far better rates of return to be had elsewhere. Especially in wake of this.

[island_dude]

I guess when you have enough cash and make enough of the right business decisions, you can afford to make a few stupid ones too. Maybe there is some sort of revenge motive here. e.g. one of the principals of the company in question messed with them in some way and this is their way of getting back at them. Sort of like buying the company that wouldn't hire you in your youth to make a point.

[ckissick]

Phew! I thought you bought another minivan.

[Aerkuld]

Is there any chance that this company owns some kind if intellectual property that Google want to get their hands on? Maybe the comapny in question has this process or idea with a patent on it, can't make it profitable, but Google think they can and buying the company gives them access to use the patent?
I don't know, just hypothesising. It's still a shyte load of cash!

[competentone]

Originally posted by Wayne at Pelican Parts
Wow, if I really had some courage, I would short Google:

I've been hemorrhaging money on out-of-the-money puts on Google for over a year now. It's expensive and annoying to keep seeing options expiring worthless, but actions like this move by Google keep assuring me that the stock is going to implode.

There seems to be no shortage of suckers though, to keep buying the stock; I know it may take a few years, but eventually the suckers will run out of money....

....I'm just hoping I don't run out of money before they do!

[cantdrv55]

The company I work for is buying another and Wall St thinks we've overpaid. The other company has products in the pipeline that's going to be BIG. Doesn't seem like Wall St knows this.

[YTNUKLR]

Google's Market Cap is off the map...$3100 Million or $3 Million, it's probably inconsequential.

[competentone]

Originally posted by cantdrv55
The company I work for is buying another and Wall St thinks we've overpaid. The other company has products in the pipeline that's going to be BIG. Doesn't seem like Wall St knows this.

Is your company involved in copyright infringement on a massive scale?

Does your company partner with others involved in fraud?

Does your company have insiders that have sold over $8 BILLION worth of company stock?

[competentone]

Originally posted by YTNUKLR
Google's Market Cap is off the map...$3100 Million or $3 Million, it's probably inconsequential.

They're paying for DoubleClick with cash. It's about 1/3 of their cash.

Market Cap has nothing to do with the company's finances, or the company's valuation based upon things like their revenue and income.

[cantdrv55]

no
no
no
not that I know anyway

[YTNUKLR]

Originally posted by competentone
They're paying for DoubleClick with cash. It's about 1/3 of their cash.

Market Cap has nothing to do with the company's finances, or the company's valuation based upon things like their revenue and income.

I understand. I'm just saying that with such a gigantic Market Cap, they have a lot of 'free' equity floating around...I personally opine that I don't think the company will just implode because DoubleClick doesn't pan out.

But, then again, perhaps they know more than we do...at least I hope that's the case, paying $3.1B for something that traded for $1.1B just a year and a half ago..

[john70t]

Here's what I got:
"System Outage
Our news system is down temporarily. Please check back later. We apologize for the inconvenience.
Other MarketWatch resources:"

Isn't Doubleclick basically internet spyware which tracks everything an individual does online? How is that different from the big-brother NSA(other than being private)?

Now that select groups of private companies have a complete personal "profile" of you and me, will they be content to only be mere observers of behaviour......or will there be a start of widespread selected "accessability difficulties" for certain information?

Think about that one. A tiered internet might be around the corner except it will be selective as well.

[87911jon]

The "norm" for buying high tech companies is 30x their earnings. Not saying that's right, just saying it's the norm. And if you do a little research on on-line advertising spending/revenue and Internet traffic stats you'll see why these companies are spending huge bucks. Companies are moving their ad budgets from older business models to on-line ones because the ROI for the Internet is getting better and better... interesting stuff.

[competentone]

Originally posted by YTNUKLR
...I personally opine that I don't think the company will just implode because DoubleClick doesn't pan out.

I don't either.

Google's purchase of DoubleClick is just one (recent -- last week) example in a long list of behaviors by Google that cause me to believe that the company will implode.

I've read what I can only describe as out-right deception in legal briefs filed by lawyers working for Google.

I can see, in online searches, the masses of poor-content web pages doing nothing more than hosting Google AdSense ads.

I can read, over and over again, comments from online advertisers complaining about how they are constantly fighting click fraud -- while Google is saying "it's a non-issue."

If you have time and are interested in the subject, read this commentary about Google's "AdSense for domains" program; read the links in the post (particularly the links in the timeline) about Google's "partner" Oversee.net -- you're looking at some pretty "slimy" business, and Google is in the thick of it:

http://www.apogee-web-consulting.com/blogger/2007/01/not-search-engine-spam.html