In a little more than 10 years since its IPO, Google (GOOG) has gone from $85 to more than $1,000 today, good for a gain of nearly 900% — but it been a bumpy ride.
GOOG shares broke above $700 before the last market crash, which wiped out more than 50% of their value. Indeed, in November 2008 you could have picked up Google for about $260 — if you’d had the guts.
Today, GOOG is at all-time highs, rising 46% so far in 2013. Again, that’s on light volume, with an average of fewer than 10,000 shares changing hands a day.
Google sports a forward P/E of less than 20, and a long-term growth rate of 16% — or about half the projected growth rate it carried before the last market crash.