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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: Phillip C. Lee who wrote (15895)12/5/1998 9:30:00 PM
From: marion (Hijacked)  Read Replies (1) of 27307
 
<<With internet-related revenue to increase from $21b at present to
$200b in year 2000, YHOO will take a lion share of such increasd
revenue. I think analysts' 60+% next year's annual increase tends to
be conservative for the entire pie increasing up to 10 folds in two
years.>>

If current internet related revenues are 21 billion , and Yahoo is taking "such a lions share", then how come their revenue last quarter was only around 55 million. Just what is supposed to happen over the next few years that will change that? Where are they supposed to make this revenue from?

<<I still like YHOO's net profit margin, standing around 32%, that is
totally amazing because other internet companies are still in the
deep red. >>

Do you wonder why that is? Could it be that Yahoo is more concerned about running their stock price instead of the company? Is Yahoo so afraid of missing the analysts earnings? They made a big chunk of money last quarter from interest income. The cash came from issuing additional stock to Softbank. They opted not to spend that cash, and instead are just using it to earn interest income. They also opted to not spend the money to be included on Netscapes and Microsofts browser even though many of the other search engines are paying to be there. In the meantime, their competition is spending huge sums on television advertising and other forms of marketing.
Yahoo has lost market share this year. According to Media Metrix and other rating services, their user base is actually declining.
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