We are in the middle of the great Information Revolution and some companies have to make sense out of all the data in the world and make it useful to the end user.
Google (GOOG) is an obvious play and so is Yahoo (YHOO).
GOOG is the one which is most likely a better investment.
GOOG has a forward PE of 32, 5 year growth rate of 34.4% for a Price to Earnings Growth Rate Ratio (PEG) of a very low 0.93 (under 1 is very cheap, over 2 is overvalued).
Ignore the actual price of the stock (GOOG is close to $700), and pay more attention to the other measures of valuation.
YHOO (Yahoo) has a forward PE of 42.63 and a 5 year estimate growth rate of 25.4% for a PEG of 1.70.
The PEG of Yahoo (YHOO) is still under 2, but Google (GOOG) is still a great value and worth investing in.