Bill Nygren on Google

Most advertising and media stocks are essentially in a cyclical business – ad growth ebbs and flows with economic growth and the overall pie grows or shrinks accordingly.

But web advertising is growing regardless of the overall advertising pie and this makes Google the ultimate secular growth story in the space (unless Facebook someday gets its ad sales really humming).

Google is held by 16 of Morningstar’s 26 “Ultimate Stockpickers”. Here’s Oakmark’s Bill Nygren on why he likes it:

“We think Google is one of the exceptions to the mean reversion in the near term, where there is a very strong tailwind of advertising shifting from traditional media to online, and Google being the leader in the online-advertising category, likely to remain the leader for years, and online has a very small percentage of advertising dollars today. You talk to almost any consumer product company and their marketing department, and they will tell you that five years from now, 10 years from now they expect to spend substantially more of their advertising budget on the Internet than they do today. We think Google is very well-positioned to have an above-average growth rate for a very long time.”

It’s one of those stocks that makes you wish the market would crumble so you could get it much cheaper. Because in the intermediate to long-term the trends are undeniable.

Source:

 

What's been said:

Discussions found on the web
  1. click here commented on Sep 14

    … [Trackback]

    […] Read More on that Topic: thereformedbroker.com/2013/06/19/bill-nygren-on-google/ […]

  2. pinewswire commented on Sep 23

    … [Trackback]

    […] There you will find 52772 additional Information to that Topic: thereformedbroker.com/2013/06/19/bill-nygren-on-google/ […]

  3. cheap vampire sex doll commented on Sep 25

    … [Trackback]

    […] Read More on on that Topic: thereformedbroker.com/2013/06/19/bill-nygren-on-google/ […]

  4. bitcoin era review 2020 commented on Sep 29

    … [Trackback]

    […] Information to that Topic: thereformedbroker.com/2013/06/19/bill-nygren-on-google/ […]

  5. Bitcoin Era Review 2020 commented on Oct 01

    … [Trackback]

    […] Read More Information here to that Topic: thereformedbroker.com/2013/06/19/bill-nygren-on-google/ […]