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

To: RON BL who wrote (21284)	4/8/1999 10:35:00 PM
From: Jenne	Read Replies (2) \| Respond to of 27307

investors digest 'blowout' DLJ and Jefferies analysts see $300 price By Bambi Francisco, CBS MarketWatch Last Update: 6:02 PM ET Apr 8, 1999 NewsWatch Internet Daily NEW YORK (CBS.MW) -- Shares of Yahoo ended lower Thursday, giving back gains notched earlier as Wall Street hailed the Internet titan's first-quarter profit and two analysts predicted the stock could rise another 50 percent to $300 a share. Yahoo (YHOO) fell for the third consecutive session, shedding 1 13/16 to 206 11/16 on trading volume of 14 million, the stock's least-active day so far this week. YHOO NASD Last Chg. 206 11/16 -1 3/4 % Chg. Vol. -0.84% 14,116,800 Day Lo. Day Hi. 196 15/16 217 Open Prev. 217 208 7/16 As of Apr 08/99 10:30 pm ET Last Trade Apr 08/99 4:01 pm ET 15 MIN. DELAY Shares had been sluggish most of the session after popping up as high as 217 at the open. While many analysts anticipated the stock would be under pressure all day, some analysts said investors were ignoring Yahoo's blowout quarter. "The received wisdom is for shares to fall," said Donaldson, Lufkin & Jenrette Internet analyst Jamie Kiggen. "But this shouldn't follow the normal pattern because we're entering a stronger quarter." Yahoo $300? Kiggen added that Yahoo had "mind-boggling" audience growth and accordingly raised his price target to $300. Jefferies & Co. Internet analyst Bruce Smith reiterated his "buy" rating and the $300 price objective he slapped on Yahoo late last month. Both Smith and Kiggen raised their revenue projections for 1999 and 2000 and their earnings expectations for this year. CS First Boston Lise Buyer raised her earnings projections as well. In a note to clients, Buyer said the results were "one more in a series of strong quarters" and that the real story was the company's improved operating margins. She added: "The song remains the same, bigger is better... Yahoo remains among our favorite Internet stocks." As expected Today on CBS MarketWatch Net stocks' surge lifts Street Value America sells its deal to public Yahoo investors digest 'blowout' ECB slashes 50 points off rates Seeking the next Tut More top stories... CBS MarketWatch Columns Updated: 4/8/99 7:00:32 PM ET Despite the bullish plugs, investors remained skittish since Yahoo closed out last week at 179 and ballooned to an intra-day high of 244 on Tuesday. "The good news was reflected in the run-up earlier this week," said Marc Klee, a fund manager with American Fund Advisors. Such a sweeping run-up indeed that on the same day Yahoo hit that all-time high, Merrill Lynch Internet analyst Henry Blodget warned clients in a note that he anticipated Yahoo's stock would dip after the earnings announcement "regardless of how strong the quarter is." After Thursday's performance, Yahoo shares have declined eight out of the nine times -- by an average of some 4 percent -- on trading days following better-than-expected earnings reports, according to LIMresearch.com. Yahoo reported after the market closed Wednesday that first-quarter earnings rose to $25.1 million, or 11 cents a share, on a pro forma basis, from $3.2 million, or 2 cents a share, in the same quarter last year. Revenues almost tripled to $86 million and combined with cost controls enabled Yahoo to improve operating margins to 38 percent. Kiggen noted that Yahoo increased its marketing expenses at half the rate the company grew revenues. Additionally, Yahoo surprised the investment community with its ability to increase page views dramatically. During the month of March, daily page views surged to an average of 235 million per day, compared with an average of 167 million in December. The number of registered users soared to 47 million. See earnings story.