Search engine titan
) reported earnings after the bell, and while the results may
have not been surprising, they are nevertheless fairly
astonishing. The company brought in $14.42 billion over the past
three months for a headline EPS read of $10.65 per share.
At Zacks, we account for stock-based compensation (as well as a
34-cent restructuring charge in the quarter), so our EPS number
comes to $9.02. That's still notably higher than the $8.61
expected by the 12 analysts covering Google shares. Analysts also
expected GOOG to bring in $12.42 billion for the quarter, so it
beat on the top-line as well.
Each quarter, Google's reporting numbers create headaches for
those trying to decipher their meaning. Not that there's anything
tricky afoot here, but the nature of Google's different
businesses lend the company's earnings reports to be less than
obvious and straightforward. Long-time owners of GOOG shares can
likely attest to the head-scratching that occurs when CEO Larry
Page & Co. put their quarterly numbers out.
Contrary to what some casual observers may think, Google is
anything but a lock to beat estimates quarter after quarter. In
fact, over the previous 4 quarters, Google averages a negative
EPS surprise of 4.91%, and the company missed big (17%) in the
Analysts had been extremely dormant ahead of the company's
earnings report, with no one adjusting estimates over the past
month, and only 1 of 12 upgrading expectations over the past 60
When our full account of Google's earnings are filled in once its
earnings are accounted for on the currently ongoing call, we'll
break it down here on Zacks.com. Until that time, we note the
after-market appears to be pleased with Google's Q4, as shares
have risen 4.75% in after-hours trading.
GOOGLE INC-CL A (GOOG): Free Stock Analysis
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