The Buzz

All markets and investing news all the time

Google tops $700 for first time since 2007

September 7, 2012: 12:07 PM ET

Click chart for more on Google's stock

Just days after Google (GOOG) turned 14, shares topped the $700 mark for the first time since 2007. Shares hit a new 52-week high of $712.25 Friday. That's less than 5% below its all-time high of a little more than $747.

The stock may have lagged the broader tech market during the past five years, but it seems to be hitting a growth spurt in its teen years. Shares have spiked 11% in the past month. That's not too bad for a youngster.

Take a look at some of its competitors. Facebook (FB), for example, has had one of the toughest starts as a public company. Its stock has dropped 7% over the past month and, at $19, it's way below its IPO price. Still, the one bright spot for the social network is the fact that its shares are still valued at a whopping 36 times earnings forecasts. And Yahoo (YHOO), which is hoping its turnaround story has just begun, has declined 6% over the past month.

Ultimately, Google's slow and steady moves look like they're paying off. Analysts are forecasting Google's earnings per share to jump 18% this year, and 16%, on average, over the next few years. At 16 times 2012 earnings forecasts, the stock is pretty fairly priced.

Related: Google at 14: Better than ever

It's not like Google doesn't face any headwinds. Apple's (AAPL) big courtroom victory over Samsung could prove problematic since Samsung is the biggest Android user and if Apple continues to wage a war against Android, Google's acquisition of Motorola Mobility could wind up being a costly mistake. Earlier this week, Google's Motorola division unveiled three new smartphones that it claims will give Apple's iPhone 4S a run for its money.

Speaking of money, Google likes to spend and occasionally manages to make bets that don't pan out as well as hoped.

Still, Google's trio of leaders, CEO Larry Page, fellow co-founder Sergey Brin, and chairman Eric Schmidt, have steered the ship pretty well.

Join the Conversation
Fear & Greed
Sponsored by
About This Author
Catherine Tymkiw
Catherine Tymkiw
News Editor CNNMoney

Catherine Tymkiw is a news editor at CNNMoney where she helps oversee breaking news coverage and futures planning. Previously, she was the investing editor. Prior to joining CNNMoney, she was the online editor at Crain's New York Business and has nearly two decades of reporting and editing experience. She tweets @ctymkiwcnn

To view my watchlist

Not a member yet?

Sign up now for a free account
Stupid Stock Move of the Day
#StupidStock Move of the Day! Yes, Urban Outfitters may be finally turnings things around. But $URBN up 17%? Seems a bit excessive, no?
Most Popular
Powered by VIP.