Google Vs Apple Stock: Why Google Stock is Rising and Apple is Falling

Google Vs Apple Stock: Apple Inc. (NASDAQ:AAPL) has been falling since September and you have Google Inc (NASDAQ:GOOG) stock on the rise. In fact, many think that $1,000 is doable. On the other side of things, there is Apple Inc. (NASDAQ:AAPL). This company was once a Wall Street darling, but has recently fallen on tough times.

Apple and Google Inc (NASDAQ:GOOG) are two of the most popular stocks among hedge funds. Hedge funds’ most popular stock picks historically outperformed the S&P 500 index and these stocks are good short-term investment candidates (see the details here).

With all this in mind, people are wondering why one company is taking off while the other is losing ground.

CBS News took a closer look at what is going on, lending some information as to why Google Inc (NASDAQ:GOOG) may be achieving greater success at the present time.

“Similarly, the Wall Street heat has hit the tech industry, but unevenly. Google (GOOG) shares are on a tear at more than $838. Apple (AAPL), on the other hand, was supposed to be the golden child — the first trillion dollar company — until Wall Street perceived problems and investors cut the stock price down to size. So what is it that Google is doing right and Apple wrong?”

This bring us to one very important point: past success does not necessarily mean that the future is going to bring more of the same.

There was a time, not so long ago, when it seemed like nothing could go wrong for Apple Inc. (NASDAQ:AAPL). However, this was nothing more than a false sense of security. For the past several months, the Cupertino-based company’s stock price has been falling.

Is it possible that the search engine giant is winning this battle right now due to diversification? The same CBS piece explains:

“Apple is insanely successful. But part of its strength has been focus. The company would rather make fewer types of products and put its resources into them.”

“Google, on the other hand, has diversified from strictly search ads into such areas cloud computing services, mobile operating systems and hardware. Every story about cars that drive themselves or Google Glasses, which offer on-the-go augmented reality, reinforce the image of a company breaking new ground.”

This is not to say that one strategy is better than the next, however, it may lend some insight as to what is currently happening.

What are your thoughts on Google Inc (NASDAQ:GOOG) stock as compared to Apple Inc. (NASDAQ:AAPL)? Share your thoughts in the comment section below.

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DISCLOSURE: I have no positions in any stock mentioned.

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