Thursday, August 19, 2004

GOOGLE + PLAYBOY = BIG AS AN AUTO PLAYER?

I don't understand why it should be a "quiet period" before an IPO. The founders of Google, Larry Page and Sergey Brin, have been criticized for being interviewed in the September issue of Playboy magazine. [Editor's note: Dean Esmay writes about Playboy, Body in Mind, and other things in his post, Rambling Essay On Sex, Violence, Manners, and Western Civilization.] [UPDATE 08/20/04: Editor's note: Here is another reason why you should get the latest issue of Playboy magazine... I have been told by a well informed reader that the magazine has published a letter by Robert Tracinski on the issue of innovation in the biotech. field.]

The initial stock price range has been slashed by circa 30%, but the market value is about the same size as General Motors Corporation or Ford Motor Company!

Trader Mike is following the action in his post, GOOG... Be Careful Out There..

Here are list of articles for your reading pleasure:

ANOTHER UPDATE:

Here is a bit of a market wrap with comments on Google's first couple of days of trading.

AOL is one of the early winners with a 2% stake due to a deal to use Google's search engine instead of Overture.

I hope Google's employees had great time at their picnic:

The first purchase will be hotdogs and hamburgers for the company's annual summer picnic today. It promises to be a happy event, especially since around 1,000 of the company's 2,300 employees are now millionaires. (Financialwire.net / Investor's Business Daily, 08/20/04.)

What is Google's "fair" value price? Around $110? It went up 18% on its day of debut to $100.34. Today's it ended at $108.31. What's your guess for next week? Nicole Maestri of Reuters is probably right in her assessment that Google will be scrutinized by the stock research analysts.

What's in the future for Google? Here is an excerpt from Esther Dyson's article, Google's courageous, clumsy debut:

As for Google's own future: I don't think Microsoft or Yahoo will beat it at its own game, but I do think that this game (like operating systems, browsers and other things) will turn into a commodity battle. Google needs to keep on pioneering. If you look at where things stand now, it has acquired Picasa (photos) and Blogger (guess what?). And it has built Orkut and Gmail. Clearly, more user content--from shared photos and blogging to personalized search--is in order. (ZDNet, 08/20/04.)

I want to end this post by giving you a friendly advice before you go and invest your money in new stocks. Read Jonathan Hoenig's article, The Secret of My Financial Success.