To: Gold Beach who wrote (15626 ) 11/26/1998 1:24:00 PM From: Phillip C. Lee Respond to of 27307
Donald, There are several interesting data regarding YHOO's fundamentals: (1) Based on historical YHOO's stock data (from October 26 - November 25): - There are 15 trading days that gapped up at the opening, while there are seven trading days that gapped down; - There are 14 days closing higher than previous day, while there are eight trading days closing lower; - There are 10 trading days that gapped up and closing higher; there are five trading days with gapping up but closing down; there are four trading days with gapping down but closing up; there are three trading days with gapping down and closing down; It seems that the stock has higher correlation with DJIA more than NASDAQ average. As long as overall tech stocks moves higher or stabilized, YHOO will keep its momentum up. (2) From Institution evaluation, YHOO got 1.8, which is a very high mark for the high tech stocks. MSFT got the same score. (3) Its consistent and improving earning records will keep the stock price intact and provide more attractive buyers with good rationales to remain in this red-hot internet area. I estimate YHOO's revenue will significantly increase for the coming years, so net incomes will follow. (4) YHOO's reputation stays as a leader in the internet general- purpose arena will be getting more obvious as internet usages widespread for years to come. YHOO could easily enter any areas provided by other internet companies, such as book dealers, toys, or any entertainment. All in all, it is likely that YHOO will remain its momentum as the internet has been widely accepted by home users, enterprises, government, and education institutions. If you think internet has its bright future, then YHOO probably will be the one you should consider for intermediate and long-term investment. Phil