Mizuho's Neil Doshi: 'Good Quarter For Google,' But 'Feel More Confident About Facebook'
Revenue for the quarter came in at $17.7 billion, up 11 percent year-over-year and in line with analysts' expectations, while EPS for the quarter was $6.99, above $6.77 that analysts were expecting.
However, the search giant's results haven't impressed Neil Doshi, Mizuho Securities analyst, much. Doshi was on CNBC to discuss Google's results and why he considers Facebook Inc (NASDAQ: FB) a better pick than Google.
Good Quarter For Google
"We still have a Neutral on the stock," Doshi began. "We do worry long-term about the sustainability of this 18 percent revenue growth. And look, Amazon and Facebook, they're all definitely nipping at Google's heels. But this was a really good quarter for Google."
Related Link: Google Analyst Roundup: Dawn Of A New Era?
Big Concerns Over Long-Term
On whether he worries that clients will blame him for missing out on Google's run, Doshi said, "It's possible, but we do take a 12-month outlook on this and we have seen Google's stock act pretty volatile. So, we will see how things go.
I think the stock continues to work tomorrow and in the short-term, but over the long-term we do think there are still some big concerns out there."
Facebook A Better Pick
Doshi was asked if he is more bullish on Facebook when compared to Google. He replied, "We definitely feel more confident about Facebook. Look, there is a lot of low hanging fruit at Facebook. They have been very targeted in their spend and we think that video and Instagram could be very big businesses in the next 12 to 18 months."
Latest Ratings for FB
|Feb 2017||Pivotal Research||Downgrades||Buy||Hold|
|Jan 2017||Pacific Crest||Reinstates||Overweight|
|Jan 2017||Raymond James||Upgrades||Outperform||Strong Buy|
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