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To briefly follow up now that Alibaba had its first day of trading and shot up in value: YHOO market cap : 41.86bn + liabilities : 3.7bn = 45.56bn (-0.44
by skuhn 12y ago
To briefly follow up now that Alibaba had its first day of trading and shot up in value:
YHOO market cap : 41.86bn
+ liabilities : 3.7bn
= 45.56bn (-0.44bn)
Cash on hand = 1.1bn
+ Other assets = 15.3bn
+ Cash from Alibaba sale = 8.3bn
+ Value of remaining Alibaba stock = 37.7bn
+ Value of Yahoo Japan stock = 9bn
= 71.4bn (+14.3bn)
Now we're at 25.84bn of "free" money. Many, many companies are valued at well above their on-hand cash and assets (sometimes tens or hundreds of times higher), so I continue to think that Yahoo is severely undervalued on paper.
If people are so negative about Yahoo that they would rather leave $25bn laying on the ground rather than be associated with them, I think Yahoo has an insurmountable obstacle to future success.
- badamson 12y agoYour "other assets" line seems too high....I believe you're double counting their Alibaba & Yahoo Japan stakes...."other assets" s/b $11.3B, no?
- skuhn 12y ago'Total assets' is listed as 16.45mm, which includes 1.1mm in cash and 5.59mm in long term investments. So yes, I suppose if they are counting Alibaba / YJ stock in long term investments (which makes sense), then it is being double counted.