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Nobody has offered a better explanation of Google’s mysterious announcement that it would augment its
three-billion-dollar bank account with a secondary stock float worth four-billion dollars. The WSJ’s
argument (subscription required) sounds good to me: Google is doing this, and doing it now, because it can now, and
might not be able to later. Allan Murray of the Journal believes GOOG stock has some bubble to it, and he believes that
Page/Brin/Schidt think so, too. when a stock is undervalued, argues Murray, companies buy it back. When stock is
overvalued, companies sell it. End of mystery. Murray also cites insider stock sales and revealing changes in
stock/option compensation.
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