Sunday, January 08, 2006

Google - Week in Review - New York Times

Google - Week in Review - New York Times: "Mr. Rashtchy's bold forecast recalls memories of the time in 1998 that Henry Blodget, then a young, unknown analyst at CIBC Oppenheimer, predicted that would hit $400 a share. At the time, Amazon stock traded at $242.75 a share; after Mr. Blodget's prognostication, the stock jumped to more than $600.
Of course, the story did not end well for Mr. Blodget: Amazon's stock eventually fell back to earth (today, it is trading at around $288, after accounting for splits) and Mr. Blodget himself, who had been hired away by Merrill Lynch with a seven-figure salary after his seemingly prescient call, was barred from working in the securities industry when it emerged that he had touted other companies that were also clients of the firm."

One big difference, of course, is that actually has an established and robust business model.

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