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Slowdown of the Google

On Thursday Google presented its quarterly earnings. It disappointed expectations at the bottom line and only beat a bit on the revenues side. The stock went down in after-hours trading and during the next day. The year-over-year growth looked good at a quick glance, but as the blue revenues curve of the long term chart shows, it came partly from the dip during the financial crisis.

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Google is since two years a slower growing company and since more than four years its stock price didn’t move substantially. If we look at the market cap of 146B, this is no big surprise either. Something like a few hundred billion dollars seems to be a wall for companies, at least in this era.

Compared to Baidu, Google is clearly the less interesting investment and trading target.