Needham & Company Maintains a 'Buy' on Yahoo! (YHOO); A Future Without Bartz
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Price: $52.58 --0%
Rating Summary:
18 Buy, 21 Hold, 5 Sell
Rating Trend: = Flat
Today's Overall Ratings:
Up: 13 | Down: 14 | New: 11
Rating Summary:
18 Buy, 21 Hold, 5 Sell
Rating Trend: = Flat
Today's Overall Ratings:
Up: 13 | Down: 14 | New: 11
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Needham & Company maintains a 'Buy' on Yahoo! (NASDAQ: YHOO) price target of $19.00.
Needham analyst says, "In our view, the biggest read-through is that AOL (NYSE: AOL) should be up 20% on this news. We think AOL represents an excellent strategic and management fit with YHOO. We believe that Tim Armstrong and Arianna Huffington would be a great management team to run Yahoo. Strategically, we believe that Yahoo is worth more with AOL’s traffic added to their own. Armstrong has long talked about trying to combine YHOO with AOL. Now he may get the chance."
"YHOO’s share price should rise also on this news because it suggests a greater likelihood of event upside for YHOO shareholders. We believe that private equity buyers will do the work on Yahoo because its sites have one of the largest audiences on the Web, at more than 600 million unique visitors, including search and content sites such as finance, sports and news."
"Employee turnover may mitigate until new leadership is found. The mass exodus of YHOO’s talented employees may slow for awhile, in anticipation of new leadership. When Carol arrived, turnover plummeted during her first 6 months while employees assessed her chances of fixing YHOO."
For more ratings news on Yahoo! click here and for the rating history of Yahoo! click here.
Shares of Yahoo! closed at $12.91 yesterday.
Needham analyst says, "In our view, the biggest read-through is that AOL (NYSE: AOL) should be up 20% on this news. We think AOL represents an excellent strategic and management fit with YHOO. We believe that Tim Armstrong and Arianna Huffington would be a great management team to run Yahoo. Strategically, we believe that Yahoo is worth more with AOL’s traffic added to their own. Armstrong has long talked about trying to combine YHOO with AOL. Now he may get the chance."
"YHOO’s share price should rise also on this news because it suggests a greater likelihood of event upside for YHOO shareholders. We believe that private equity buyers will do the work on Yahoo because its sites have one of the largest audiences on the Web, at more than 600 million unique visitors, including search and content sites such as finance, sports and news."
"Employee turnover may mitigate until new leadership is found. The mass exodus of YHOO’s talented employees may slow for awhile, in anticipation of new leadership. When Carol arrived, turnover plummeted during her first 6 months while employees assessed her chances of fixing YHOO."
For more ratings news on Yahoo! click here and for the rating history of Yahoo! click here.
Shares of Yahoo! closed at $12.91 yesterday.
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