After 11 blistering months as a public company, during which its stock climbed 269%, to $313 per share, finally failed to live up to investors’ sky-high expectations. The search leader on July 21 unveiled second-quarter net profits of $343 million – a 334 percent jump over last year’s quarter, but slightly below analyst estimates. Investors trimmed Google’s shares by 5 percent, to $299, in after-hours trading.
Google’s numbers cap a disappointing week for Internet search players. Yahoo! on July 19 undershot second-quarter sales estimates, causing its shares to fall by 13 percent over the next two days.
Read the complete story. (BusinessWeek)