Clicks will go up but their revenue per click (cost per click metric) is decreasing. Motorola expenses are still there and advertising revenue as a whole is questionable due to companies holding back on spending in front of the "cliff". Mobile keeps increasing and will keep increasing which is less $$$ for them.
Are they going to make 10.51 this Q? Up from 9.03 last Q? Doubtful. Maybe they make 10 flat.
Of course, the estimate was lowered from 11.66 3 months ago - but why should that stand in the way of the stock going up 100 points. Revenue est. is 12.38B - interesting because they had 14.1B in rev. last Q. Apparently, they are going to miss on earnings again but the revenue blowout will be awesome and this can be the new AMZN. My apologies for the sarcasm, but the growth rate for GOOG is slowing and they are struggling to grow earnings - yet up, up, and away.
I suppose the powers that be who run this stock want us all to believe that GOOG is still nimble enough to convert their revenue increases directly into profits despite the fact that they are not doing it.
I try not to fight stock prices and am not fighting this one. Given today's action and the chart, I would not doubt a move back to the 750-770 area in the next two weeks. Make sense? No, but neither did going there before. Will it drop again at earnings? It should implode when they miss again but looking at the revenue estimate, I can see the analysts trying to make this a revenue story.