I am by no means a financial analyser or anything like this. But am i the only one out there who thinks that the 85$/share price for the upcoming Google IPO is just riddiculous. If you take a look at the quick numbers. This means a market cap of about 23 Billions. Now if you consider that their earnings are a little shy of 300 Million a year. Which makes for a P/E of about 80, which is WAY above the average of 10-20.

In addition to this, their only tangible offering at the moment is a search engine only financed by ads and paid placements. Considering they already own a big lump of the market share which leaves little growth potential. Now i know they have other products in the works such as Gmail but in my oppinion they have yet to prove how profitable such a venture can be.

To me it seems that the IPO itself will be a big flop and will serve little purpose than making its executives and employees rich. The way I see it, the stock will start up at 85$, then the clueless hordes which couldn't get into the auction will buy in. But then a few hours to a few days later, when the prices spike over 100$, the realistic investors (including the Google staff) know this is way too much and will cash in, causing the stock to crash down. In the end, i don't forsee the stock being worth much more than mayby 30-40$ (IF THAT!).