- Since rejecting Microsoft's buyout offer of $44.6 billion back in the early part of the year, Yahoo's share price has sunk to $17.78 a share and the companies Market Cap is now $24.6 billion. The free-fall is happening even though they have a search outsourcing deal with Google -- maybe the regulatory concerns are having an effect.
How can shareholders put up with this? Sure the market as a whole is down but the Microsoft offer looks like a killer deal now.
- eBay just crossed into $22 territory ($22.92) for the first time in 2 years and there are no signs that the trend will reverse itself. If this trend continues does the $19 price target of Deutsche Bank's Jeetil Patel come into play during the first quarter of 09'? At $19 a share is the company in play? With $4 billion in cash and a consensus value of PayPal at $15 billion, does eBay, Inc. really come into play for Google or Microsoft when the Market Cap is $24 billion?
Tuesday, September 09, 2008
"Darlings of the Valley" Continue to Sink.
I usually stay away from Wall Street on the blog, but I just can't help commenting on two former "Darlings of the Valley" eBay and Yahoo.
The next few months are going to be very interesting to watch. Investors are already voting with their shares.
Just my 15%