Monday, December 20, 2010

Citigroup (NYSE:C) Remains Bullish on Google (NASDAQ:GOOG)

Citigroup (NYSE:C) said they continue to be bullish on Google (NASDAQ:GOOG), citing continued strong search engine spending and growing mobile revenue.

In the fourth quarter, Citigroup analyst Mark Mahaney said he sees revenue from search for Google being at least as strong as the same quarter last year, and possibly increasing by some.

He also sees Google's mobile segment revenue continuing to rise quickly, with revenue estimated to reach $2 billion in 2011 and soaring to $3.5 billion in 2012.

For full year 2011, Citigroup raised their EPS estimate from $33.48 to $34.22, and for full year 2012, from $38.23 to $39.06.

Citigroup maintains a "Buy" rating on Google, which was trading at $593.22, up $2.42, or 0.41 percent, as of 11:56 AM EST. Citi has a price target of $725 on Google.

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