I/O 2013 Positive for Google (GOOG) Stock, But Don't Expect Repeat from Last Year
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Price: $341.45 -0.61%
Rating Summary:
44 Buy, 6 Hold, 0 Sell
Rating Trend:
Up
Today's Overall Ratings:
Up: 12 | Down: 23 | New: 20
Rating Summary:
44 Buy, 6 Hold, 0 Sell
Rating Trend:
Up
Today's Overall Ratings:
Up: 12 | Down: 23 | New: 20
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Jefferies reiterated a Buy rating and $1000 price target on Google (NASDAQ: GOOG) ahead of the Google I/O Developers Conference, which kicks off today in San Francisco.
The Jefferies Internet team, led by Brian Pitz, said investors should expect lots of news and product announcements. They note last year's event featured several key hardware launches, and the stock responded +4% over a 5-day period. Jefferies sees a more muted response in the stock this year.
This year they expect more emphasis on improvements to core Google products and services.
"We expect fewer hardware announcements this year, and we don't expect much in the way of details on Motorola's upcoming X Phone," the analysts said. "Pichai's comments likely mean we won't see a new Nexus phone (although we could see incremental upgrades to existing phones), and we likely won't see the Motorola X Phone either. Note we think any details on the X Phone could be a positive for the stock. There has been some chatter that Google will unveil an 11 inch Android tablet (Nexus 11), but this now also appears unlikely."
They continued, "We would be surprised to see an Android 5.0 Key Lime Pie announcement; rather we expect more incremental details on Jelly Bean version 4.3. We're hearing 4.3 will support new features like Bluetooth Low Energy and OpenGL for Embedded Systems 3.0 graphics specification. The WSJ reports Google signed content deals with Universal, Sony, and Warner and could launch a new, subscription music streaming service (like Spotify) as early as this week. We have been hearing chatter Google is upgrading Maps with a cleaner, more streamlined UI and we believe the company may unveil this new look at Google I/O. Expect to hear a lot of noise on new search products like Google Now and voice search integration. We expect Google will announce a social game hub for Android (akin to Apple's Game Center for iOS), which will allow in-game chat, matchmaking, and cloud save syncing, with Google+ almost certainly serving as a social backbone. We are also hearing that Google may unveil a new cross platform message service that would synch messages across Android, Chrome, iOS, Google+, and Gmail and would likely serve as a rival to Apple's iMessage. We expect there will be a few interesting Google Glass app announcements, although these apps may be in various stages of completion. Finally, the Google TV team tweeted "stay tuned for Google TV news at I/O."
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 $887.10 yesterday.
The Jefferies Internet team, led by Brian Pitz, said investors should expect lots of news and product announcements. They note last year's event featured several key hardware launches, and the stock responded +4% over a 5-day period. Jefferies sees a more muted response in the stock this year.
This year they expect more emphasis on improvements to core Google products and services.
"We expect fewer hardware announcements this year, and we don't expect much in the way of details on Motorola's upcoming X Phone," the analysts said. "Pichai's comments likely mean we won't see a new Nexus phone (although we could see incremental upgrades to existing phones), and we likely won't see the Motorola X Phone either. Note we think any details on the X Phone could be a positive for the stock. There has been some chatter that Google will unveil an 11 inch Android tablet (Nexus 11), but this now also appears unlikely."
They continued, "We would be surprised to see an Android 5.0 Key Lime Pie announcement; rather we expect more incremental details on Jelly Bean version 4.3. We're hearing 4.3 will support new features like Bluetooth Low Energy and OpenGL for Embedded Systems 3.0 graphics specification. The WSJ reports Google signed content deals with Universal, Sony, and Warner and could launch a new, subscription music streaming service (like Spotify) as early as this week. We have been hearing chatter Google is upgrading Maps with a cleaner, more streamlined UI and we believe the company may unveil this new look at Google I/O. Expect to hear a lot of noise on new search products like Google Now and voice search integration. We expect Google will announce a social game hub for Android (akin to Apple's Game Center for iOS), which will allow in-game chat, matchmaking, and cloud save syncing, with Google+ almost certainly serving as a social backbone. We are also hearing that Google may unveil a new cross platform message service that would synch messages across Android, Chrome, iOS, Google+, and Gmail and would likely serve as a rival to Apple's iMessage. We expect there will be a few interesting Google Glass app announcements, although these apps may be in various stages of completion. Finally, the Google TV team tweeted "stay tuned for Google TV news at I/O."
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 $887.10 yesterday.
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