Google/GOOG - dueling banjos
JP Morgan believes that Google's US business is outperforming in 2Q, driven by better than expected RPS and query volume. Additionally, the firm believes the international segment continues to perform well. As such, they are raising their 2Q rev/EPS ests to $870 million/$1.20 from $845 million/$1.14 (consensus $831.7 million/$1.19). Firm believes that monetization enhancements have increased GOOG's sponsored click-through rates dramatically, and will likely continue to contribute to higher click-through rates in 2Q. However, they are conservatively modeling no financial gain from those measures in Q2. Reiterates Overweight.