Google Inc (NASDAQ:GOOG) is a company that has over the years continued to thrive through its innovation and broad range of products. Born in 1998, Google is the brainchild of Larry Page and Sergey Brin. The company has grown from just a local search engine to a source of technology, information and also investment. There is normally a sense of fear when investing in technology companies since you never know when the bubble will burst and it is no longer the “in thing”. There are various points one needs to take into consideration about Google before making it your next investment.
Company profile
The Google company profile is one of humble beginnings whose innovation has propelled it to the top. The company provides web based search engine through its website. It has innovated various ways to search allowing for image searches also different languages. They collect most of their revenue from advertisements. The demand of convenience from the products in the market has made various technological companies to go back to the drawing board so as to remain competitive. The company has not been left behind and has set new trends in the field of innovation.
Innovative products
The secret for survival in the technology sector is to set new heights rather than struggle to keep up. Over the years Google has gone from being just a search engine to an innovator. The company has come up with various products that have experienced unmatched competition. The company began with self service advertisements that were launched in 2000. The program enabled different categories of businesses to advertise in their platform. Its flexibility has allowed various businesses over the years to flourish. The company also acquired video streaming you tube.
In 2004 they launched an email messenger which was linked to its search engine. The last decade has now seen the company venturing into software innovation bringing it head on with new competitors. Some of the products they have launched include android operating system, Google maps, Google chrome as well as other software. The growth of the Smartphone has led to the company in developing and acquiring a good number of applications for mobile users. With over a billion android users, their products have now become a household name since they have saturated the market.
Stock price
The company started trading on Wall Street in August 18, 2004 with an Initial Public Offering of 19,605,052 shares. A look at the past years since it begun trading shows an astonishing performance. Technology is always a tricky investment and was the reason why many investors were cautious in putting their money in the company. The company’s growing reputation on the technological world has over the years boosted its confidence with the company registering an increased share price of 900% after 9 years.
The increase in its stocks demand has been linked to the company broadening its horizon. The products that it has launched have made it increase its revenues. This success has led to the company stock value increasing at a rate of $350 in a year. The cost of stock is quite high thus you need to have a considerable amount of financial investment so as to have meaningful number of share.
Future products
There is nothing like a comfort zone for technological firms. For this reason Google has looked to acquire various innovation companies so as to stay ahead of competition. You can never be sure if the company has enough products to last it into the future. Since the company relies mainly on advertisement for its revenue, a wrong move in the future may cause the tech giant to be overtaken just as it did overtake the others.
Conclusion
Not even the big companies are immune to poor market conditions. It is important that before you put your money in the stocks you first check how well the market is doing. Technology is very dynamic and the key players’ future is not always certain, however, Google has over the years proved that it is no pushover and has what it takes to keep the lead in this sector. The stock price of its shares scares a lot of small investors away but in the end the company remains to be one of the most sort after when it comes to investment.