Will Google meet its Growth Targets?
Thursday, August 30th, 2007Many analysts expect Google to grow its earnings by close to 40% a year for the next five years. Google will probably report a net income of $4.8 billion in 2007, and it should be very difficult to grow such bulk earnings for every company. In addition, the US search ad market has just slowed down a bit, forcing Google to make more money overseas. Another way of growing earnings is to go into other ad markets like online video, newspaper, radio and television ads. Google has already done experiments on these sectors, but the company hasn’t rolled out any competitive business units, yet. After all, analysts should watch Google’s progress in these areas before recommending bulk stock acquisitions.

