Google stock crosses $1,000 mark after earnings
Google's stock surpassed the $1,000 mark for the first time, helped by strong third-quarter results.
Shortly after the markets opened Friday, Google Inc. shares jumped 14 percent to $1,015.46 and closed at $1,011.41. The gains marked Google's biggest one-day jump in more than five years.
The stock had never been higher than $928 in regular market trading since Google went public at $85 per share nine years ago.
Late Thursday, Google reported a 36 percent jump in third-quarter net income, which beat Wall Street's predictions. The numbers showed that while the company's average ad prices continue to decline, they're being offset by a larger number of people clicking on ads.
Over the years, Google has expanded its reach far beyond the powerful search engine that made it famous. It now includes the video-sharing site YouTube, along with the Android operating system that runs on close to 1 billion smartphones and tablets.
The company ranks as the No. 1 digital ad company by revenue, leaving rivals such as Yahoo Inc. and Facebook Inc. far behind.
Google's stock has climbed steadily in the past five years, more than doubling in value.
Friday's stock surge takes Google's stock market capitalization to about $333 billion.
It's unlikely Google shares will stay above $1,000 for long. The Mountain View, Calif., company plans to issue a new class of stock that will likely cut the value of the shares in half, though its stock market capitalization will be unaffected. -- AP