Tuesday, June 28, 2005

not a lot of 'stuff' scare me, but...

now i'm very upset. i wrote a very long message and it didn't go through.

it went like this:

google's market cap is 80 billion, same as home depot.

however, google doesn't have a lot of assets. they are mostly an idea (not really, but part of their cap is due to their future growth and the expectations people have of how many ads they will display, i guess not very different from selling hardware at a store)

however, doesnt it seem weird to you that two companies that are so radically different would have the same market cap? it's more compliated than this, of course, but if this stupid thing wouldnt have deleted my first message it could be more clear.

GOOG balance sheet for fiscal '04:

HD balance sheet for fiscal '04:

there's something fundamentally weird about this picture, and it's not the only one. it almost seems to me that as long as you give the tape to somebody else you won't die, but it's that persons responsibility to give it to somebody else and eventually, somebody will have the tape and see the ring... and then the bubble will pop

i have no clue what i'm talking about so dont hold me responsible for any implications that might arise from this post


Post a Comment

<< Home