As someone with no connections to Google’s stock, I’m a fairly impartial observer in this matter. Still, it was fun to write about the stock passing $600, $650, and $700 in rapid succession, and although it’s much lower now, it’s managed something impressive and smile-inducing again.
The Dow dove 370 points today, while the Nasdaq dropped 73 and change. Google gained $11.37, which put it above $500 once more. This may have been a bounce following all the panicky “Google’s Below $500” articles.
Of course, stepping back a bit, Google’s recent dip has still undone five months’ worth of progress. And, in more financially revealing terms, that amounts to losing about $235 per share since its high in early November.
That’s the sort of drop that makes me consider throwing money at the makers of Tums. It’s also the sort of drop that is going to make things a lot harder on Google itself.
The company has lost its “golden boy” status, and investors aren’t likely to overcome any serious fears in the middle of a recession. Jobseekers may see this development as a turnoff, as well; some are sure to be awestruck by Google’s generous benefits, but stock options will be less appealing. And that’s not even taking into account what current Googlers will think of the mess.
Of course, Google.com is the search engine of choice for millions of people, and AdSense remains extremely popular, so it’s a bit too early to scream about falling skies. We’ll just congratulate Google on its small recovery for now, and wait and see what happens tomorrow.
