Google‘s shares hit an all-time high record on Monday. Experts believe that the company’s share price surged because of company’s reliable advertising business making an impact on investors of Wall Street. Google’s stock reached the mark of $784.90 surpassing the previous record of $747.24 set in November month of 2007.
The recent surge in stock price of Google reflects the faith investors have showed again the company. It may be recalled that Google was trading below $300 mark during the global economic crisis. Google was going through a very critical phase for the past several months with many investors showing more interest to emerging online players instead of Google. But the trend has now taken a U-turn and now Google is back on the top of investors’ minds and stock market.
Google still maintains the reputation of being the world’s No.1 search engine. It grossed 438 billion in its revenue on 2011. The future prospects of Google are looking brighter than ever before with the new surge in share prices. Facebook and companies such as Groupon and Zynga had higher expectations in the public markets previous year, but were not able to achieve the desired success similar to Google especially with investors raising increased concerns about their future business prospects.
Brian Weiser, Analyst at Pivotal Research Group was stated as saying, “The markets have to come to appreciate that Google’s been making money hand over fist all this time.”
Some of the key factors that have contributed to Google’s revenue boost include:
- Well managed search advertising business
- Extending the business to display and mobile advertising
It seems Google’s good days are back and again testifies the fact that slow and steady wins the race.