Little one-time gains, from a biased non-observer (Score 1)

(Note: I work for Google, so I'm hopelessly biased.)

From the NY Times:

Google earned $721.1 million, or $2.33 a share in the quarter, compared with $342.8 million, or $1.19 a share, in the period a year ago. Excluding charges related to stock-based compensation and a gain from the sale of its shares in Baidu, the Chinese Internet company, Google earned $2.49 a share. Analysts had expected the company to earn $2.22 on that basis.

I believe the Baidu sale yielded like $60 million.

Personally, I don't care what Wall Street expects. If growth goes from 80% to 70% to 60% to 50%, our P/E will be like 10 (at $400/share), and we'll still be growing at a really high rate.

Do the math, and forget about projections. If you take the $2.33 GAAP number, and look at the run rate (this would be a middle ground between ttm and projected), $2.33 * 4 = 9.32, which gives GOOG a 43 P/E ratio.

How does that make GOOG way overvalued?