Stock Charts: Google Inc Case Analysis

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One Specialized What do you think would the futures price of 100 shares of your reference company to be delivered to you in one year be right now? In the case of Google, the company would have a future call option price of between: $80.00 and $94.00. This is because the firm is experiencing increasing earnings momentum of 16.4%. Evidence of this can be seen by looking at the actual earnings for: 2011, 2012 and the 2013 estimates (which are illustrated in the below table). ("Google," 2012) Google's Annual Earnings per Share for 2011, 2012 and 2012 Year Earnings per Share 2011 $36.04 2012 $42.34 2013 $50.36 These figures are showing how Google is experiencing an increase of $6.30 (from 2011 to 2012). In the future, this will lead to a rise in earnings by $8.02 (for 2012 to 2013). ("Google," 2012) Moreover, the company has been experiencing a break out since hitting a 52 week low of $578.00 (on a rounding bottom pattern). Yet, the price of the stock is trading below the 200 day and 50 week moving averages. These medium to long term indicators, are highlighting how the stock is in a bullish pattern by trading above these levels. It is also indicating that the price is in a bearish pattern over shorter periods of time. ("Google," 2012) ("Google," 2012) In this case, Google is trading below the 200 day and 50 week moving averages. This is bearish over the short to medium term. However, the company is projecting an increase in the earnings per share numbers from

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