A yield of 13% in less than a month. This is at least about a 150% per year. This is less than the rate the stock (GOOG) is doing since introduction in 2004, because the stock multiplied by five in less than two years time. Well done!

The earnings per share of the stock are estimated to be around five and a half dollar ($5,5). Against the current stock price of $471 does this mean a price-earnings (P/E) ratio of roughly 85. Normal P/E ratios are between 5 for non-growing stock-earnings and 30 for faster growing earnings. So this ratio of 85 holds a lot of expectation.

Let say that the earnings of 2007 will be around $20, this would mean that if the expectations remain the same this stock would be worth around $2000. That will never show on the boards because the stock will be split beforehand.

And still the question for me is, and I hope for others too, is this reasonable? Are we not following a leader because there is nothing else to follow?

Now we come to the aspect of competition. This search engine