Google Stock Continues Slide
HOST: Google stock opened and immediately fell from $705 per share to trading at roughly $694 per share this morning. As KQED's Peter Jon Shuler reports, the search giant's stock dropped eight percent on the news that earnings fell short of expectations.
PETER JON SHULER: Google reported net income of $2.2 billion compared with $2.7 billion a year ago. Search clicks were up 33 percent in the last year, but the amount advertisers pay Google for clicks is down by 15 percent. That's largely the result of a consumer shift to mobile devices. Analyst Greg Sterling with Opus Research says despite the quarterly earnings, Google remains the most successful Internet company in the world.
GREG STERLING: The market is being disrupted by mobile devices and shifts in consumer behavior, but I think Google's in a pretty strong position to figure that out.
SHULER: The question, says Sterling, is whether Google will enjoy the kind of growth it has seen in the past. That, he says, is less certain.