People are increasingly screwy about Google’s near-$1,000 share price. The latest example: The hoo-ha over a Bernstein analyst upping his target on the stock from $720 to $850.
Sure, $850 is a big number, but it’s not that much of a deal to go from $720 to $850, an 18% increase on a stock that has run twice that much over the last few months. Further, GOOG had already pretty much hit the lower target, and, like the rest of the street, the Bernstein is essentially playing catchup.
My take. This is another reminder of the futility of long-term price targets on a fast-moving stock. Analysts look silly, repeatedly resetting one-year price targets, like meteorologists caught by an unexpected Santa Ana.
And me? I’m sticking to my $1,000 GOOG price target, posited months ago — to much scoffing — on one of my CNBC appearances.