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Technology Stocks : Altaba Inc. (formerly Yahoo)
AABA 19.630.0%Nov 6 4:00 PM EST

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To: Bill Harmond who wrote (11579)7/2/1998 1:23:00 AM
From: Tim Bagwell  Read Replies (1) of 27307
 
<<Yahoo has been generating free cash flow for a year, and has been posting increasing operating earnings for three quarters. If I recall correctly, operating margins have increased from 5% to 17% during the past three quarters. Yahoo is 15% sold, yet, through last quarter at least, CPM's have been increasing.>>

Considering that Yahoo has little in the way of overhead they *should* be able to generate cash flow. But what value do they add?

Even a television network provides value through its inherent operation of the medium which it controls. I don't see the same parallel with Yahoo.

Yahoo is to the Internet as a TV guide is to television. I don't know about you but my TV guide comes for free in the newspaper. It also has ads that I ignore and throw away.

Regards.
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