Thursday, November 23, 2017
Business

Google stock crosses $1,000 mark after earnings

RECOMMENDED READING


NEW YORK

Google's stock surpassed the $1,000 mark for the first time Friday, helped by strong third-quarter results.

Shortly after the markets opened, Google shares jumped 14 percent to $1,015.46 and closed a day of heavy trading at $1,011.41. The gains marked Google's biggest one-day jump in more than five years.

The stock had never been higher than $928 in regular market trading since Google went public at $85 per share nine years ago.

Late Thursday, Google reported a 36 percent jump in third-quarter net income, which beat Wall Street's predictions. The numbers showed that while the company's average ad prices continue to decline, they're being offset by a larger number of people clicking on ads.

Over the years, Google has expanded its reach far beyond the powerful search engine that made it famous. It now includes the video-sharing site YouTube, along with the Android operating system that runs on close to 1 billion smartphones and tablets. The company ranks as the No. 1 digital ad company by revenue, leaving rivals such as Yahoo and Facebook far behind.

Google's stock has climbed steadily in the past five years, more than doubling in value. But the stock slipped slightly in recent months, while the overall market has risen, amid worries about deteriorating ad prices.

Google's average ad price has fallen from the prior year in each of the past eight quarters, primarily because advertisers aren't paying as much for mobile ads because the screens on smartphones and tablet computers are smaller than those on laptop and desktop computers.

As more people rely on mobile devices to connect to Google's search engine and other services, the trend is driving down the company's average ad price, or "cost per click."

But the number of so-called "paid clicks" on Google's ads helped offset the lower prices in the third quarter. The clicking volume increased 26 percent from last year, an indication that Google's data analysis is doing a good job matching ads with the interests of its services' users.

Friday's stock surge takes Google's market capitalization to about $333 billion, which still pales in comparison to that of technology industry rival Apple Inc. The iPhone and iPad maker ranks No. 1 in the world with a market capitalization of $462 billion.

It's unlikely that Google shares will stay above $1,000 for very long. The Mountain View, Calif., company plans to issue a new class of stock that will likely cut the value of the shares in half, though its market capitalization will be unaffected.

Comments
Across country, small retailers aim for emotional ties big chains may lack

Across country, small retailers aim for emotional ties big chains may lack

Associated PressSome smaller retailers will tug at shoppers’ heartstrings during the holidays, trying to create an emotional experience or connection that a big national chain might not provide.Store owners are going well beyond the usual holiday dec...
Published: 11/22/17
Six years and counting: Allegiant Air reaches agreement with flight attendants

Six years and counting: Allegiant Air reaches agreement with flight attendants

ST. PETERSBURG — After six years of negotiations, Las Vegas-based Allegiant Air and its flight attendants union reached a tentative contract to improve worker pay and benefits and solidify airline policies."We feel like it’s an agreement that is cert...
Published: 11/22/17
Workers at luxury St. Pete condo tower say they are owed thousands

Workers at luxury St. Pete condo tower say they are owed thousands

ST. PETERSBURG — Nearly three dozen workers at ONE St. Petersburg, a luxury condo tower under construction in the heart of downtown, haven’t been paid in weeks and are owed thousands of dollars.With the holidays nearing, some of the men say they are ...
Published: 11/22/17
Some cities faced with all-or-nothing medical marijuana rules are playing it safe

Some cities faced with all-or-nothing medical marijuana rules are playing it safe

When it comes to weighing the options for regulating medical marijuana through the law passed this year, Dunedin city commissioners declared local governments face a "conundrum" and "a false dilemma."They said they would welcome a dispensary in the c...
Published: 11/22/17
More guns being detected at Tampa Bay area airports — and everywhere else

More guns being detected at Tampa Bay area airports — and everywhere else

TAMPA — Here’s some travel math for this traditionally heavy day for long trips: More people carrying guns plus more people flying equals more guns going to the airport.The numbers bear this out. The federal Transportation Security Administration has...
Published: 11/22/17
A year after impasse, Pasco school contract talks run more smoothly

A year after impasse, Pasco school contract talks run more smoothly

LAND O’LAKES — Representatives from the Pasco County school district and the United School Employees of Pasco sat together several times in the weeks leading to Thanksgiving break, trading contract proposals amid (mostly) amicable conversation.They c...
Published: 11/22/17

Florida Supreme Court suspends two Hillsborough lawyers

Times Staff WriterTwo Hillsborough County lawyers have been suspended from practice because of professional misconduct.The Florida Supreme Court ordered a 91-day suspension for Richard Luther Bradford of Brandon after he was found in contempt for fai...
Published: 11/22/17
Get all the Black Friday sales circulars today. Here’s how

Get all the Black Friday sales circulars today. Here’s how

The Tampa Bay Times Thanksgiving Early Bird edition, with all of the Black Friday ads and sales circulars, is available today.That’s right. You don’t have to wait until Thursday to check out the savings. Weighing nearly five pounds, the Early Bird Ed...
Published: 11/22/17
U.S. business leaders say Cuba is still open, at least to them, despite Trump’s new rules

U.S. business leaders say Cuba is still open, at least to them, despite Trump’s new rules

WASHINGTON — When the Trump administration announced new Cuba regulations, it sparked a new round of hand-wringing in Washington over a return to a posture not seen since the Cold War. But now, the American business community is quietly spreading the...
Published: 11/22/17
Here’s when stores will open on Thanksgiving and Black Friday

Here’s when stores will open on Thanksgiving and Black Friday

Although the crowds might still be unruly and the lines long, Black Friday as "The Day" is slowly waning. Steve Kirn, a University of Florida professor and executive director for the David F. Miller Center for Retailing Education & Research, said the...
Published: 11/21/17
Updated: 11/22/17