Analyst Point Out Another Reason Why 'G-O-O-G-L-E' Spells PAY DIRT (GOOG)

Investors looking for another reason to buy Google stock just hit pay dirt, aka Google Shopping.

The new Google Shopping program effectively requires retailers to buy product listing ads, and according to checks by analysts at Jefferies, uptake looks strong with transition from free-to-fee currently underway.

"We see upside as GOOG transitions its previously free product search program into a paid service, now called Google Shopping. Our comprehensive checks suggest robust adoption by retailers as it transitions to a fee-based program (will be 100% paid by Oct. 17), essentially requiring retailers to buy PLAs (aka image-ads). Our latest checks count 2x more retailers listing 50% more PLAs, suggesting GOOG is well positioned for a solid 2H," said analyst Brian Pitz.

Jefferies has a Buy rating on Google (NASDAQ: GOOG) and a price target of $850.00.

For an analyst ratings summary and ratings history on Google click here. For more ratings news on Google click here.

Shares of Google closed at $744.70 yesterday.

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