Marek Fuchs
Milestones have this funny way of becoming millstones in the stock market, which is why your antenna for trouble has to go up when an effectively meaningless milestone -- especially one that comes equipped with a false comparison -- is celebrated and showcased in the business media.
Welcome to the coverage we've been seeing in sources ranging from CNBC to the East Bay Business Times about how Apple(AAPL Quote - Cramer on AAPL - Stock Picks) has surpassed Google(GOOG Quote - Cramer on GOOG - Stock Picks) in market capitalization. Multiply each company's shares outstanding by its stock price, and Apple is now ahead in the race no one knew they were both running. Where is the finish line? There is none. What does this all mean for the business media? A lot. See, it's an easy story line -- a natural starting point for a lot of braying about how Apple and Google relate to each other. And what does this mean about the future, which is the only thing that matters to savvy investors? Nothing, especially because the fates of Apple and Google are as unrelated as The Business Press Maven and the Queen of Sheeba. CNBC ran a big headline about the random occurrence: "Apple Eclipsing Google Market Cap Is Really A No Brainer." It then led in celebration. No matter how much you believe in Apple's future, mind you, losing your head in celebration does no one any good:"Apple's numbers have long been staggering; the way this company has grown; the way it continues to beat the Street; the way new products fly off shelves; the way Apple generates profits."
RSS
