GOOGLE EARNINGS PREVIEW: Will The Stock Take A Moonshot To $900 Again?
Here's what everyone is looking for.
First, the big numbers:
- Gross revenue: $14.8 billion
- Net revenue: $11.9 billion
- EPS: $10.34
Second, the other stuff:
Morgan Stanley analyst Scott Devitt highlighted three areas of interest for investors.
1. How are "enhanced campaigns" going? Enhanced campaigns took away some control from advertisers. Ads will now be on desktop or tablets, with advertisers having no say in the matter. Analysts want to know how that's working.
2. What's up with Motorola? Is anyone buying the Moto X? How is that division performing?
3. What about YouTube? When will it be raking in double digit billions in revenue? (Google has never been terribly specific about YouTube revenue, and we see no reason for that to change tonight.)
Other stuff people are interested in: How is Google+ doing? How much money will Google invest in Calico, the company trying to prolong life? What about mobile advertising, how is that effecting sales? And, on a more nuts and bolts level, what's going on with cost per click? Morgan Stanley is expecting mid to high single digit growth with CPCs.
We'll be curious to see how the stock reacts, too. Earlier this year the stock was ripping to new highs, but since May it's been flat.