On Friday, October 18, 2013 Google’s share price jumped above $1,000. Since Google's IPO debut around 2004 the company has continued to climb in the stock market. It's amazing how google in just a few short years has changed the face of technology.
Google finished at 14 percent on Friday, at a sum of $1,011.41bringing its gain since its initial offering to roughly 1,100 percent. During the same period, the shares of Amazon.com rose only 830 percent, while Microsoft — 10 years ago the most feared giant in technology — gained just 28 percent.
Google didn't just target businesses but really put their nitch in consumer products and software and it appears it has paid off well. Google has joined the over $1,000 per share league. Google also appeared to be moving more money through overseas accounts and holding more money overseas, a strategy Apple and others have used to avoid corporate taxes in the United States.
Google finished the quarter with $56 billion in cash, held in the United States and overseas. Even the companies trying to compete with Google are starting to draw off their overseas cash, buying foreign companies. These deals include Microsoft’s purchase of the phone assets of Finland’s Nokia for $7.2 billion, and Cisco’s purchase of NDS, a video services company based in Britain, for $5 billion in 2012.
On Friday, Google announced a new partnership with a rival, Facebook, in which it will begin selling ads that can appear on the desktop version of Facebook’s service. It also announced changes to location-based searches in international markets. While this yields more profitable ads for Google, since people are generally more likely to click on things targeted at them, it also can run afoul of privacy advocates and regulators.
The reason behind Google's stock's latest move higher came late Thursday when the online advertising company reported a profit of nearly $3 billion during the third quarter, up 36% from a year earlier and exceeding estimates.