Tuesday, February 13, 2007

Google's Second Largest Shareholder Lowers Stake

Same old, same old: "Strong Buy" untill we will sell our shares:
"Google's Second Largest Shareholder Lowers StakeTuesday February 13, 5:41 am ET
Lon Juricic submits: In an amended 13G filing, Capital Research and Management disclosed a 6.3% stake (13.1 million shares) in Google (NasdaqGS: GOOG). This is down from the 14.25 million share stake the firm held for the quarter ended September 30, 2006. Capital Research and Management is the second largest Google shareholder. Fidelity is the largest shareholder with an 11.3% stake.

While one large shareholder selling out is not a major red flag, it should be noted. If Fidelity starts trimming its stake I would be concerned. The same guys that ran Google up and absorbed all the selling from management can quickly leave major footprints in the stock on the way down. Also, Google's decision not to split the stock could end up hurting them if big players want out.
Google has been under pressure since reporting earnings at the end of January.
I love Google, but we all know who controls the market."

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