Needham & Company Maintains a 'Buy' on Yahoo! (YHOO); Employee Turnover Drove Mixed 2Q11 Results

Needham & Company maintains a 'Buy' on Yahoo! (NASDAQ: YHOO), PT $19.

Needham analyst says, "Yahoo reported gross revenue of $1.229B, at the low-end of Yahoo’s guidance of $1.23B, 2.5% below ours and the consensus estimate of $1.26B. Net Revenues (after subtracting TAC) was $1.076B, 2% below our estimate of $1.10B and 3% below the Wall Street consensus of $1.11B. Based on weak 2Q11 results, management lowered its guidance for 3Q11 and FY11...We believe that employee trends often lead share price performance in the Internet space." (Needham lowers FY11 EPS estimate from $0.90 to $0.85)

For more ratings news on Yahoo! click here and for the rating history of Yahoo! click here.

Shares of Yahoo! closed at $14.59 yesterday.

---

Serious News for Serious Traders! Try StreetInsider.com Premium Free!

---

You May Also Be Interested In

• Coherent (COHR) PT Raised to $420 at Needham
• Berenberg Upgrades Mobileye N.V (MBLY) to Buy
• RBC Capital Upgrades CAE Inc. (CAE:CN) (CAE) to Outperform