Google stock fundamental analysis (Google stock price target)
Google is the biggest search engine in the world. google.com is the most visited website in the world. You must be aware that Google dominates the search engine business all over the world. Google has 90% market share in the search engine business. Google is a company with very strong fundamentals. Google company is a company with very high profits margin. If we talk about Google’s results, then this company is a profitable company quarter on quarter and year on year. If any company is profitable quarter on quarter and year on year, then the stock of that company increases rapidly. When such a stock falls and breaks out, then there is a very big increase.
Google main Business Model
- Google search engine
- Google Ads
- You tube Ads
- You tube Premium
- Google workspace
- Google cloud
- Google Pixel
- Nest products
- Chromecast
- Google play store
- Data Licensing and APIs access
- Waymo
- Verily and Calico
Google stock technical analysis (Google stock price target)
There has been a huge breakout in Google stock. Now Google’s stock is going to rise sharply. Google had fallen by 20% from its price of 191. Now this stock is trading near 194.94 after breaking its old high of 191. The next target of this stock will be 230.
Hedge funds trading strategy in Google stock
You must be aware that the US stock market is dominated by hedge funds. Hedge fund managers operate the American stock market. Hedge funds have a lot of money. Hedge funds have a lot of money. They can crash the shares of any company if they want. And if they want, they can bring a huge rally in any company.
Hedge funds have used a 20% up and 20% down strategy in Google stock. Using this strategy, fund houses short sell a very large fundamentally strong company and bring it down by 20%. And then when retailers start selling the stock of that company, fund houses buy the same stock from retail investors.
Whenever a fund house has to make an investment in any stock and the fundamental metal of that company is very strong, then the price of shares of that company will be high. So hedge funds spread rumours about such strong fundamental companies. And as soon as retail investors hear any bad news about the stock of a company, the retail investors start selling that stock.
When retail investors start selling the stock, the hedge funds buy those shares at a discount on behalf of retail investors. And when the time comes to book profits in the stock of that company by buying the hedge fund in delivery or by taking a long position in future contracts, then the hedge funds spread good news about that stock in the media. When retail investors spread bad news about any stock, then retail investors start buying that stock. Only when retail investors start buying, hedge funds book their profits by selling their stock to retail investors.
If we talk about Google’s stock, then hedge funds sold their delivery stock of this company in 2021 when the price of Google was running at $ 151. After selling all the stocks in their delivery at the price of $ 151, hedge funds started short selling this stock in future contracts. By shorting, the price of Google’s stock fell to $ 83. When the operators let this share fall to $ 83, then there was no deficiency in the business model of this company, still the stock of this company was sold short by hedge funds.
Hedge funds keep booking profits of their money from time to time. A hedge fund holds any stock for a maximum of 2 years. It books its profits by selling its stock after 6 months, 1 year, 2 years or any specified time.
At the price of Google stock at $195, hedge funds have now started taking aggressive long position in the future. Fund houses will book their profits by selling this stock when the price reaches $230. When the price reaches $230, rumours will be spread in the media that this stock will now cross $300. The media will start making retail investors buy around $230 and hedge funds will start exiting.
Conclusion
Our Google shares are currently priced around 195. We can buy this stock right now, we will sell all the stocks when this share reaches 230$. If we want to make a huge profit in the stock market, then we will have to work with the strategy of hedge funds.
Google stock price target is 230$