Will Google Survive Facebook? -- Wall Street Journal"How can we not be happy?" Google CFO Patrick Pichette asked rhetorically last week as the Internet search giant unveiled stellar earnings and revenue for the fourth quarter and full year 2010.
He got his answer: a swift $25 drop in Google's stock price. Shares closed Friday at $600.99.
On the face of it, Google management and shareholders had plenty to celebrate. In the fourth quarter, sales surged 26%, while profits rose 29%—both above Wall Street's expectations. Growth in Google's core search business accelerated, and Mr. Pichette stressed that newer businesses in display and mobile search were "another growth engine" for the company. Analysts rushed to increase their one-year stock-price targets, with some going as high as $800.
So why the tepid response?
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My Comment: Search will be around forever .... but social networking is where the growth is.
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