Rumors of Yahoo's Sale Of It's Internet Arm Sends It's Stocks Soaring

Discussion in 'General Trading Discussion' started by Rainman, Dec 3, 2015.

  1. Rainman

    Rainman Senior Investor

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    The rumors are as yet unconfirmed but shareholders believe it would a good thing for Yahoo which is why the stocks have surged by about 7%.

    http://www.wired.com/2015/12/rumored-sale-of-yahoos-internet-arm-sends-stock-soaring/
    To be honest I don't know if this will make Yahoo more valuable but for anyone interested in Yahoo stocks [undervalued though their stock might be] this might not be the right time to buy.
     
  2. JR Ewing

    JR Ewing Super Moderator Staff Member

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    They're cheap, but they have a history of not being able to do much right in recent years. I've owned them before off and on. Nothing really excites me about them, and their management should perhaps be shaken up again IMO.
     
  3. turt

    turt Guest

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    Who is going to buy it? Microsoft? They've failed to keep up their web interface with modern times. It's just like a bunch of ideas shot all over the place. Also, compared to Google, their online advertising isn't great and Bing's interface for selling ads is better too.
     
  4. SteakTartare

    SteakTartare Senior Investor

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    Yahoo seems to have been circling the drain for a long time now. I don't know (shrug), I just can't see buying there stock. That wasn't always the case, but circa Q4 2015, no thanks.
     
  5. baudwalk

    baudwalk Senior Investor

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    The BOD concluded its monthly meeting today and reportedly will make a decision on Sunday. The activist investor pushing for sale of the core business continues to press. Verizon could have chosen Yahoo over AOL but chose not to; given Verizon's debt I would be surprised if Verizon would add Yahoo components to the mix. Watching Yahoo struggle these last few years, I don't expect much. But I suppose a sale is possible at a fire sale price.
     
  6. baudwalk

    baudwalk Senior Investor

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    http://www.forbes.com/sites/brianso...disney-verizon-comcast-all-potential-suitors/

    Brian Soloman, writing for Forbes, suggests Disney, Verizon and Comcast, among a number of others, should buy the core holdings of Yahoo. This piece surprises me, but if the price is low eniugh, who knows what happen. Food for intrigue.

    Perhaps we'li get news out of the BOD later this Monday. Somebody from CNBC, if no one else, might poke around to find an unnamed source.
     
  7. baudwalk

    baudwalk Senior Investor

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    http://www.mediapost.com/publicatio...cquisition-of-yahoo-search-ad-assets-wou.html

    This article speaks to a possibility that Verizon might be interested in the Yahoo core assets as a complement to its AOL acquisition. (Further, there was no news on the saLe of assets by day's end.) I'm having a hard time wrapping my head around why this might be. The only thing I can think of is that AOL was an ad delivery system, whereas Yahoo might add search and a stouter version of news and sports. As Verizon has a mail component, Yahoo mail would be a throwaway. Judging from my experiences over thr years, both mail systems are pathetic on deciphering and blocking spam. Anyone have ideas on this?
     
  8. Corzhens

    Corzhens Senior Investor

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    If I have the money, I would buy Yahoo stocks not for anything but for the name. I am a Yahoo loyalist, still using Yahoo for email (I did not shift to Gmail because the design made me uncomfortable). And with Yahoo selling cheap, I guess it can recover beautifully in time since the internet is not normal without Yahoo. It's like saying there's no microsoft in the software industry. But honestly, I think those talks of selling are just rumors or maybe to prop up the value of the stocks. And some may say that rumors of selling can be a gauge for the stock's value - if the public will buy or not.
     
  9. anders

    anders Well-Known Member

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    Yeah, this was my first thought. I more surprised that yahoo has lasted this long actually - why anyone would to buy their platform is beyond me.

    That said, Yahoo have done some good stuff in the past, so they must have decent people working for them. I'll be monitoring this situation closely.
     
  10. pwarbi

    pwarbi Senior Investor

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    Yahoo have been struggling for a number if years now, and this as been on the cards for quite a while now.

    Yahoo have been slowly trying to sell off parts if themselves for a few years now and eventually I can see them having only their email side of things left.
     

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