Tuesday, April 7, 2009

hill of beans

I can't get excited about GOOG these days. They're still going to rule the world. I'm sure of that. But the problem is, in these crazy times, ruling the world doesn't command much of a multiple.

How many times now have we skirmished on this same ground? Too many.

I remember the first crossing.

I had bought GOOG just under 200, and it seemed like a great struggle to achieve that level and hold it. Getting to 300 took more of an effort the closer it got. The law of round numbers was in effect.

On October 20, 2005, GOOG closed at 303.20. It had been a sleepy Thursday all day. After the bell, Google's earnings for the third quarter were released. The results, by universal regard, were stupefyingly incredible. In the after hours, the stock shot up 50 points to the mid-350's. The air was thin at that altitude, but the next day, GOOG held, handily. It didn't stop until it hit 475, by the end of the year.

Then, the foot of pride came down and it was the better part of another year before it would see that level again. But then, after basing for a while, GOOG made its final assault on the mountaintop.

All who owned GOOG at that time were beatified. It seemed our natural birthright.


We're just waiting for Muley.

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