Back to top

Analyst Blog

Google, Inc. recently started inviting users of its All Access music subscription service to buy its Glass wearable device priced at $1500.

Google Glass is a wearable computer with an OHMD (optical head-mounted display) that is being developed as a part of the Project Glass research and development project.

Worn like a pair of glasses, the Google Glass can be connected to smartphones to convey messages and make phone calls. Additionally, Google Glass can communicate with the Internet via natural language voice commands.

These invitations happen to be an integral part of Google’s efforts to create awareness about its Glass, which, in turn, will increase the number of buyers going forward.

These invitations also coincided with the introduction of Google Play Music on the Glass device. Google Play Music All Access is a specialized service that enables users to stream music from the Internet to their respective devices.

Going by the average consumer’s increasing interest in wearable technology, we believe that Glass will definitely boost the revenues of the company going forward.

Google is a market leader in online advertising and has been trying to explore various ways to diversify its revenues and fight competition. Acquisitions have been a key catalyst over the years, as Google continues to acquire smaller companies with specialized technology to boost product offerings.

Google reported gross revenue of $14.89 billion in the third quarter of 2013, up 5.6% on a year-over-year basis. The company has expressed its intention to increase investment in its core products in the future, which we believe will boost its market share in the long run.

Currently, Google has a Zacks Rank # 2 (Buy).Other top-ranked stocks in the sector include Aol Inc. (AOL - Snapshot Report), Facebook, Inc.(FB - Analyst Report) and Blucora Inc. (BCOR - Snapshot Report), all with a Zacks Rank # 1 (Strong Buy)
 

Please login to Zacks.com or register to post a comment.

New to Zacks?

Start Here

Zacks Investment Research

Close

Are you a new Zacks Member or a visitor to Zacks.com?

Top Zacks Features

My Portfolio Tracker

Is it Time to Sell?

One of the most important steps you can take today is to set up your portfolio tracker on Zacks.com. Once you do, you'll be notified of major events affecting your stocks and/or funds with daily email alerts.

More Zacks Resources

Zacks Rank Home - Evaluate your stocks and use the Zacks Rank to eliminate the losers and keep the winners.

Mutual Fund Rank Home - Evaluate your funds with the Mutual Fund Rank for both your personal and retirement funds.

Stock/Mutual Fund Screening - Find better stocks and mutual funds. The ones most likely to beat the market and provide a positive return.

My Portfolio - Track your Portfolio and find out where your stocks/mutual funds stack up with the Zacks Rank.

Zacks #1 Rank Top Movers for Zacks #1 Rank Top Movers

Company Symbol Price %Chg
RPC INC RES 24.91 +8.35%
LITHIA MOTO… LAD 94.59 +4.60%
DELTA AIR L… DAL 39.15 +3.90%
FLAMEL TECH… FLML 14.51 +3.50%
SOUTHWEST A… LUV 28.87 +2.92%