Easy Money Made in Yahoo! (YHOO) But Stock Still Compelling, Piper Jaffray's Munster Says

Piper Jaffray analyst Gene Munster reiterated an Overweight Yahoo! (NASDAQ: YHOO) rating and bumped his price target on to $48.00 (from $44.00) ahead of the Alibaba IPO debut but said the easy money is now off the table.

Munster commented, "We upgraded shares of YHOO in late June ahead of the Alibaba IPO with the belief that investors would ultimately realize the value of Yahoo's stake in Alibaba. As BABA is set to begin trading tomorrow, we believe much of the easy upside is priced into YHOO and we now move to a period of waiting to see how the remaining shares of BABA that YHOO holds will be impacted by taxes. While we believe that a more favorable tax treatment is likely in the remaining shares held by YHOO, we believe we will be in a waiting game until we hear more, which will mean more steady levels of YHOO vs. the
rapid appreciation of the past three months"

For an analyst ratings summary and ratings history on Yahoo! click here. For more ratings news on Yahoo! click here.

Shares of Yahoo! closed at $42.09 yesterday.

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