Some Analysts Still Like Google's Stock After Earnings Miss
Shares of the Internet giant, led by CEO Larry Page, declined in early trading.
NEW YORK - After Thursday's fourth-quarter earnings disappointment from Google, some analysts still reiterated their "buy" and equivalent ratings on Google's stock.
But shares of the Internet giant, led by CEO Larry Page, declined in early trading. As of 9:45am ET, the stock was down 8.1 percent at $587.62.
Calling the latest results "a noisy quarter," Credit Suisse analyst Spencer Wang reiterated his "outperform" rating on Google and $700 price target. "Longer-term growth drivers remain intact, including display advertising, mobile, and, potentially, Google+," he wrote.
RBC Capital Markets analyst Ross Sandler similarly said in the title of his report that "The Bar Is Now Reset; Google Safer To Buy After Sell-Off." He also reiterated his "outperform" and price target of $800.
Stifel, Nicolaus analyst Jordan Rohan reiterated his "hold" rating though.
"Google has often had trouble meeting expectations for the fourth quarter," he said. "But most of all, Google does not attempt to keep estimates under control with any financial guidance, and that is the real takeaway here. The management team could do a lot to reduce post-earnings volatility by making sure investors were on the right page when it comes to some of these below the line items."