Silicon Investor (SI) -- The First Internet Community

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

Technology Stocks : Altaba Inc. (formerly Yahoo) -- Ignore unavailable to you. Want to Upgrade?

To: Golfstud who wrote (9209)	4/7/1998 3:37:00 PM
From: RDH	Read Replies (1) \| Respond to of 27307

Golfstud, 1. How do you know YHOO will be worth anything in the year 2001? The technology to create a YHOO is very simple. If Microsoft wanted to incorporate all the functionality of YHOO into Internet explorer they could do it within a six month time frame. Companies like YHOO and XCIT would be hit very hard. 2. If companies like YHOO can turn a profilt for more than a year or two straight, expect lots of new competition (I know this is a restatement of 1.). 3. What about WEBTV ongoing expansion? The default browser for them is XCIT -- if everyone get used to using XCIT (which has a cooler name) than what happens to YHOO? It seems to me that the risk of holding onto YHOO is much greater than selling. If YHOO beats earnings by several cents the stock price won't move up much right away. Maybe five points before the market opens. However if YHOO only matches earnings expectations than expect YHOO to plummet. And if YHOO disappoints -- since everyone considers this so unlikely, look for YHOO to actually crash. I can understand holding IFMX, SUNW, ORCL, KO, MSFT or any other number of stocks for the long term (with confidence). But if I had big profits from YHOO at this point, it would be hard to justify holding -- I think I would sell before earnings and if earnings look good, then buy it back. At worst I would lose out on $5 per share gain. In the scenario of holding on to YHOO through earnings, the worst case is that I could lose out $20 per share before the stock even opened. Anyway this is my opinion: perhaps it is because I work with technology for a living -- so does the management of YHOO and I suspect that is why they have sold significant shares in the $50's and $60's. - RDH

To: Golfstud who wrote (9209)	4/7/1998 3:44:00 PM
From: Ed Zhao	Read Replies (1) \| Respond to of 27307

>>I just know I'll be wealthy from it in 2001.<< and Analysis at a business perspective: Yahoo is an entertainment media company, it is most like to attract advertising $s currently spend in TV. A good TV station is currently selling for approximately $25 billion. An very optimistic estimate would be that YHOO will attract 20-30% advertising $ from TV stations. That gives value of YHOO in 10 years as 5-8 billion. The stock has incorporated 10 years of potential in today's price. Talking about margin of safty!!! XZ