Categories
Tech

Yahoo Inc (YHOO): A bearish view

 

Yahoo (YHOO) has been trading in a very tight range since its gap up in October last year.

Since that gap up, it has been trading between a low of $15.50 and a high $17.78

The high took place at a time when the S&P 500 was at its peak this year as well.

We can see from the chart that it has drop back below the kumo; a bearish sign.

At this moment, Yahoo (YHOO) is trading below the kumo with a possible resistance from the kumo at $16.60

I will be looking for an entry to short YHOO. A break below $15.50 will give me a target of $14.60 and ultimately, $13.00

Yahoo has been cost cutting for quite a fairly long time. Developers were laid off and a fair amount of work outsource.

As a technological company, what is Yahoo’s strength? And if it is positioning itself as a content company, it will be going against the likes of AOL.

What plus point will want see moving forward? And do shareholders believe that Carol Bartz can re-invent this company?

My personal opinion is NO.

I believe the strategy forward for Yahoo is pretty much focused on getting their balance sheet clean up and looks attractive. After which, they will be acquired and that translate to an exit strategy for the senior management.

What do you think?

Categories
Publishing

AOL Inc. (AOL) : Thinking Out Loud

– Will be listed today
– zero debt
– current CEO is ex-GOOG, in charge of ads (how much will that change in terms of strategy?)

Revenue Source
– dial-up subscribers,
– ads revenue
– content licensing

Competitors
– YHOO, GOOG, MSFT etc

Risk
– falling ads revenue for the possible next quarters (may report its first quarter with increased revenue due to holiday season)
– primarily a US play, how are they going to attract audience beyond the shores of US or increase its share?

Opportunity
– publishing industry going through restructuring
– opportunity to hire talents and seek new shores
– most likely will put together a plan to grow revenue from mobile devices
– possible partnership or acquisition with Garmin (mapping is an important play on many companies now, AOL also owns maps)

What else?

Categories
Tech

Yahoo advertise on Times of India

From TechCrunch:

India’s largest English-language newspaper, the Times of India, has an interesting print edition front page today – a huge yellow advertisement for Yahoo’s It’s You campaign first announced last month. You can view the print version here.

The newspaper’s circulation as of 2008 was 3.14 million, making it the largest selling English-language daily newspaper (here’s the whole list). Yahoo already has a large presence in India, reaching 26 million of the 35 million online Indians (according to Comscore, August 2009).

What does the ad mean? Who cares. It’s big and yellow. Yahoo has said it hopes to follow up on the ads by personalizing the Yahoo experience for each user.