This is kind of funny.
As if we needed any more convincing, BusinessWeek provided yet more evidence yesterday that the media's obsession with short-term stock prices does not make any sense.
The article makes some good points, but so does the lone commenter.
The one thing I’d like to add to all of this is that there is a big difference between a good company and a good stock. I don’t think that anyone denies that Google is a highly profitable company. But at a current P/E of 73.01? A stock, like any other financial instrument, is the NPV of its future returns – if you’re willing to pay that much for GOOG, you ought to be very confident that it will sustain a high-growth trajectory (if you’re in it from a fundamental viewpoint). If Google doesn’t live up to expectations, expect its stock to be crushed – not much room for error there.