Google (NASDAQ: GOOG) has lost money on it finance website, its maps, its image search, and does not appear to make money on YouTube. If investors have any valid criticism of the company it is that Google is in too many business which have limited or no potential return.
Add investing in a more efficient national energy program to that list. Google does manage energy consumption to keep the costs of its server farms down, but now the company wants to go way beyond that. According to The New York Times, "Google is now considering large investments in projects that generate electricity from renewable sources."
Perhaps the large search firm should look at the collapse of the solar and ethanol businesses. As the price of commodities moved up and oil prices moved down, ethanol stocks have been killed. As government underwriting of solar power has been cut back that industry has gone into a flat spin along with the public companies which have driven its expansion.
Google's stock is at $329 down from a 52-week high of over $747. Some of that is due to concerns about a slowing advertising market. Some of its is due to the money Google wastes. The company can take one of those concerns off the table.
Douglas A. McIntyre is an editor at 24/7 Wall St.











Reader Comments (Page 1 of 1)
10-28-2008 @ 8:23AM
Virgil Bierschwale said...
Perhaps the large search firm should look at the collapse of the solar and ethanol businesses. As the price of commodities moved up and oil prices moved down, ethanol stocks have been killed. As government underwriting of solar power has been cut back that industry has gone into a flat spin along with the public companies which have driven its expansion.
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Actually this part here is exactly what is wrong with our thoughts these days and why we will be doomed to repeat this energy crisis over and over every so often.
When the price of oil goes down, we forget about investing in other forms of energy, forgetting that the supply of oil is finite.
One of these days, we're going to run out of oil and if we havent been investing in energy, then we're really going to be up a creek without a paddle.
I used to think it was unwise for corporate leaders to ignore the stock market and focus on running their businesses.
As I read these columns, I'm now understanding why they have chosen to do so.
You have to invest in things that may not hold any potential right this second and they may not make any money in this quarter which drives wall street crazy, but sometimes you just have to suck it up and believe in your vision for the future and to hell with wall street.
I think if a lot of the bean counters/analysts out there would focus more on putting Americans back to work in America that they would actually find the numbers that they so desperately want.
This financial crisis we are going through has been brought about because of our willingness to sell out our fellow Americans just so our corporations will make this quarters whisper number.
Wall Street is directly responsible for what is happening today and I find it amusing that many of them are now finding themselves out of work, not because there isnt any work, but because of their greed and their insistence and willingness to sale out their fellow Americans.
And who are we bailing out, but wall street.
Now where in the hell is the sense in that ?
Give me the old time directors of old that would be willing to walk into your earnings call and tell you to take a flying leap and then maybe America will return to its value's instead of being guided by bean counters who bear no accountability for their actions.
Virgil
http://www.KeepAmericaAtWork.com
10-28-2008 @ 10:21AM
Rose said...
Not only google all stocks are came down. Japan Stock exchage reached 26 years down. Energy of metal, everything gone down. Now investors taking option of the old fixed deposits in Banks and they became aware that old is gold. Yes gold also advisible.
http://investmentandmoney.blogspot.com