Google (GOOGL) - A Report Brought to You by Q8 Trade
A brief history of Google
Google is a US public company that specializes in the field of advertising related to internet search services and sending emails through Gmail. Google was chosen to reflect the company’s mission to organize the vast amount of important information and official data available on the Web.
In addition, it provides the possibility of publishing sites that provide textual and graphical information in the form of databases, online maps, office programs, Orkut, which allows online communication between individuals, sharing movies and video presentations, as well as advertising free copies of all previous services.
The company is headquartered in Mountain View, California. The total number of full-time employees on March 31, 2009 was 20,164.
The company was founded by Larry Page and Sergey Brin when they were preparing PhDs at Stanford University in California.
They hypothesized that a search engine that analyzes the relationships between a website would provide a better ranking of search results than any methods that actually rank the results according to how often the term is searched on the page.
The search engine they created was dubbed “Back Rub” in English because its system was checking back links to assess the importance of the site. A small search engine called Rankdex was already trying to search. About a similar technique.
Page and Bern are convinced that pages with links to other relevant pages are the most relevant.
They both chose their hypothesis as part of their study, and then laid the foundation for their search engine. The search engine used the Stanford University web site using google stanford edu. On September 15, 1997, the ownership of Google.com was registered, and on September 4, 1998, the company was registered in the name of Google. About $ 1.1 million, including a bank check of $ 100,000, was written by Andy Pictolsheim, one of the founders of Sun Microsystems.
In March 1999, the company relocated its headquarters to Palo Alto, a city that has seen the start of many other notable technologies emerging in Silicon Valley.
After the company expanded so fast that it was not enough to own two headquarters. In 2003, the company leased a number of buildings from Silicon Graphics in Mountain View.
Since then the company has lived in this place and known as the headquarters of Google Blix derived from the mathematical term “Google Blix” which is the number one followed by the number of Google zeros.
In 2006, the company purchased the building group from Google Graphics for a total value of about US $ 319 million. Google has received a huge demand from Internet users who admired its simple and clear design along with its useful results.
In 2000, Google began selling ads along with search keywords, where ads were text-based so pages would not be stacked and loaded at full speed.
The keywords were sold based on both bids and an estimate of the effectiveness of the ads, and bids started at a price of $ 0.05 per single click for the user’s click on the ad.
Acquired by the company formerly known as Jones, Yahoo Marketing was the industry leader and was recently renamed OverService before it was acquired by Yahoo! And renames it as Yahoo Search! Marketing.
The company was first established on September 4, 1998 as a private company owned by a limited number of people. The company launched its shares on the nineteenth day of August 2004, through an initial public offering (IPO), after which the company accumulated a large capital with a total value of about US $ 1.67 billion. US $ 23 billion.
Later, Google continued to thrive by launching a wide range of new products, acquiring several other companies and entering new partnerships. And throughout the company’s boom. Among its pillars was the task of preserving the environment, serving the community and maintaining positive relations among its employees.
The company has been ranked number one in more than one time by a review of the best companies, conducted by the magazine “Fortune”, and won the most powerful about 100 brands in the world, conducted by the group of companies “Millward Brown.”
Google describes its mission as follows: “Google’s mission is to organize the information of the entire world and make it accessible from all parts of the world and make it useful for everyone as well.
The company has taken the unofficial slogan “Don’t Be Evil” by one of its former employees, Paul Bowicket, the first email engineer for Gmail, in October 2015. Among the criticisms Google has those concerns about the privacy of users’ personal information and data, and copyright and monitoring of Google Publications.
What should you know about Google shares?
Google’s shares are traded through the Nasdaq. In 2004, the initial stock price stood at $ 85 per share. Google shares were added to the Standard & Poor’s Index on March 31, 2006. Stock prices rose immediately by about 7%, and in October 2013, the stock price index closed above $ 1,000 for the first time.
Google does not pay dividends to shareholders, but its rapid growth and high stock prices make investing in them very popular. Google’s annual and quarterly earnings reports are one of the most important things to look for when evaluating stock performance and forecasting price movements.
Google’s advertising model is centered around AdWords and AdSense programs that use search history to show targeted ads to consumers.
Revenues also come from smartphones and other products, but the vast majority of their profits come from advertising. Google’s ability to develop other sources of income will determine the company’s future success.
Google has made many acquisitions in recent years, with the acquisition of Youtube.Com in 2006 the most outstanding, and the company continues to provide innovative and practical technology solutions, and does not show any sign of slowdown, and many analysts believe that Google shares are the Proper purchase option. Google continues to expand and dominate, but we have to watch to see how long it will last.Therefore, anyone who wants to trade through Google shares should thoroughly study the conditions and volatility of the markets before starting the trading process. Google has launched its own web browser, operating system, and line of smartphones. AdWords, Google Voice, Google Drive, Google Earth, Gmail are just a limited number of Google services that dominate the market.
Factors affecting Google’s share price?
Stock markets are volatile, so they should be careful when dealing in riskier assets. However, trading is not a difficult thing, but it requires strong understanding and deep analysis.
Prices move up and down a lot and often seem random, but these movements change based on several factors that are the main drivers of stock prices, which are:
- Supply and demand: There is an old adage in stock markets that prices go up when there are many buyers compared to sellers. This principle is very true. Shares are bought and sold through an open market using the supply and demand system, where if the number of buyers more than the number of sellers per share increases the asking price, which leads to a rise in the price of the stock, but if the number of buyers less than the sellers in the sense that the demand is lower than the supply Stocks go down.
- The company’s financial performance: supply and demand illustrate how stock prices rise, but a key factor that creates high demand rates in the first place is the financial performance of the underlying company. When stocks make more money, they become more valuable to investors. This is especially true when the company earns far more than analysts expected. For example, if the company is expected to earn 10 cents per share instead, it makes a profit of 50 cents per share, the company will be more demanding. Companies with high demand for their stocks are consistently reporting good earnings in both good and bad economic cycles. These companies are largely isolated from negative earnings surprises and often gain market stability that creates a strong stream of buyers for the stock leading to Keep the stock price high.
- Broad economic trends: Stocks are also affected by the macroeconomic factors of countries. For most companies, it is difficult to make money if the economy is in a state of paralysis and recession regardless of how well it performs. Loss of money In this climate demand for equities tends to decline which negatively affects the price, as increased demand leads to higher share prices.
- Speculation: In the case of high speculation in the market or in the case of high speculation in stocks, the price of these shares will be subject to high volatility, in the case of speculation at a low level, the fluctuations in the share price will be lower.
- Political factors: Political factors such as party ideology in power, government policies and relations with other countries affect share prices. For example, when the UPA government won elections, share prices fell significantly as there was a feeling that government policies were influenced by communist parties.
- Industrial factors: In the case of a good relationship between workers and management of the company, the productivity of the company will be high, which in turn leads to better gains and profits, and therefore, the stock prices will be higher, as for companies where industrial relations are bad and disturbances and closures occur regularly The company’s performance will be poor, so share prices will fall.
Why should you invest in Google shares with Q8 Trade?
Investment in Google stock is an investment through a sophisticated business model, Google knew that its search engine will not be enough to support its business model, to increase the user base and improve retention costs, the company has developed several products and services.
In addition, by acquiring YouTube in 2006, Google has increased its market share through online advertising to the point where it becomes the global leader in the industry. By trying not to rely on advertisements, it began to develop modern and sophisticated technologies.
Google’s rapid revenue growth from 2010 to 2019 is largely due to advances in the online advertising market. Google’s dividend fell for 2017, due to EU fines for domain misuse.However, the level of return on Google stock improved and returned to work well over the next year, achieving a four-year high of more than four times the return. On Google shares during 2009.
If you are thinking and want to invest through Google stock, trading experts are often advised to start investing in ETFs or global economic indicators such as NASDAQ.
As index prices fluctuate with the market, they are considered less risky than individual stocks, which makes them a safer choice for novice traders.
Google stocks trading via CFDs with Q8 Trade
Another option is to invest and trade in Google shares through CFDs. This allows a person to trade for a long or short period whether it be buying or selling.
This allows you to invest without taking into account the basic aspects of the company and using a leverage that can maximize profits and in return losses in case the market tends to reverse. In the advertising market the company can mature.
Its large monetary ownership allows it to work in other growth engines, especially in modern technologies, however, it will compete with other GAFAs in this area.
Trading on CFDs offers many advantages that are not available in direct trading, such as access to all foreign markets, trading using leverage, and the sale of transactions on assets that do not offer that option mostly and many others, where a contract is made Between the trader and the platform instead of opening a direct position in a particular market. The two parties agree to repeat the market conditions and settle the difference between them in case of closing the deal.