Look! Up in the sky! It's a bird! It's a plane! It's a… Google satellite?
Google is reportedly looking at launching 180 small satellites to provide Internet access to the world's hard-to-reach locations. The price tag for all of it is estimated to be $1 billion to $3 billion, chump change for a company sitting on over $59 billion in cash and short-term investments.
Two months ago, Google purchased drone-maker Titan Aerospace for $60 million as part of its connectivity efforts. Facebook was reportedly pursuing Titan before the Google purchase.
Gina Sanchez, founder of Chantico Global, says these efforts won't benefit the stock immediately but will have long-run implications.
"These sorts of infrastructure builds are very, very long-term thinking on behalf of the company," said Sanchez, a CNBC contributor. "The idea is to open up and create new markets rather than spelunk the market that they have already."
Sanchez believes Google will benefit in the future with added users in high-growth market that don't currently have Internet access. "But, it's not going to show up in the price immediately," she said. "If anything, it's probably going to depress the price a little because that's a big spend."
Meanwhile, Richard Ross, global technical strategist at Auerbach Grayson, is in no rush to buy the stock.
"Google is a company that I really like," said Ross, a "Talking Numbers" contributor. "But, it's not a stock that I like here, and I would be a seller of Google."
-and-shoulder formation in the beginning of the year. During the NASDAQ Composite's 10 percent pullback from early March to mid-April, Google had a pullback of roughly 16 percent. At one point, Google even broke below its technicallysignificant 200-day moving average. "We close below it but only for one day," Ross said in what he describes as a "false breakdown."Google's Class C shares made a head
Google shares subsequently rebounded from its May lows but will face resistance around $580 per share, according to Ross' charts. That's the level of where the pattern's shoulders.
"Absent of a break back above that key resistance, I would be seller of Google here," Ross said. "I think we revisit that 200-day moving average [currently at $527.80], we break below it, and go even lower still."
To see the full discussion on Google, with Sanchez on the fundamentals and Ross on the technicals, watch the above video.