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At least I "technically" beat the crowd to the defense of Google. Over the weekend, I wondered whether GOOG's stock could withstand this latest test of the market's conviction. The analyts did me one or two better with a series of upgrades and reiterations. $500+ price targets rang loud coated in calls to buy the dips. I daresay that this rush to save the ship this early in what was looking like a severe correction merely confirms the extremes of the enthusiasm in GOOG's stock. TraderMike notes how quickly the technicals have switched to bullish hues. So, it appears, for now, the analysts have done their jobs well. Next week's earnings will either finish the job for them, or finish them.
Until those earnings, I cannot fathom GOOG making new 52-week (all-time) highs: the market has chosen to pay attention to negatives again. I will also bond with Scott Devitt, an analyst at Stifel Nicolaus, who stuck to his one-year $400 price target. Somehow, I cannot shake the shadow of my own earlier $400 price target, and I find comfort in the company of misery. While I am perfectly willing to play along with a run to $500 and more from here, I think this $400 level is going to be important for much longer than any of us can quite imagine right now. Time will tell! Until then, be careful out there!