<<* will it attract new buyers ?
* will the existing buyer sell to capture profit at an all time high price
* How much this stock has been diluted from the VISA deal (known) and from issuing new stocks to officers ( unknown )( to make them richer ) and to the market to keep it afloat from operating expenses ( unknown )( from +.02 to -.7 )
* ~1M shares shorted for YHOO is nothing comparing to:
Worldcom WCOM 37,216,284
TeleCom A TCOMA 28,419,532
Quantum Corp QNTM 23,273,661
3Com COMS 15,675,671
Netscape NSCP 12,002,006>>
I think you're missing some fundamental's here. Yahoo doesn't have competition -- it created a new industry that it leads. Who knew what a Web browser was back in 1992 -- who used the internet in the '80's -- who knows the future of Web TV.
The dilution from the Visa deal is ~1.5% -- the value gained by the deal could be quite impressive -- we shall see.
Here's my analysis of Short Interest from a few days ago -- study it carefully before you short!
----
I checked the recent 144s and form 4s.
Insiders sold 297,675 shares between 4/18 and 5/30 at an average cost of 32.16. Since then, there have been no 144s for more than 10,000 shares and no form 4s.
Given the float of 4.2 M and short interest of 1.9 M, 45% of the actively trading shares have been sold short. The average daily volume last month was 643,000; assuming that trades to MM's account for 2/3 of that volume, that makes about 210,000 shares traded between investors per day. Given that daily volume, it would take 9 days for the shorts to cover their positions.
From a TA point of view, it looks like YHOO will go down some more, but I wouldn't like to be short at these levels. |
