Morningstar Rating

Stock Research and Analysis

by Rick Summer, CFA, CPA

Bulls Say

As online advertising continues to grow at the expense of traditional offline media, companies that have the largest audiences are poised to capture a great deal of this growth.
Yahoo has continued to purge noncore businesses and technologies. This offloading of expenses has provided improvements in operating margins.
Yahoo has more experience running large branded advertising campaigns versus much of the competition. Read more 

Bears Say

Approximately one third of Yahoo's net revenues come from search, a market segment where the firm has clear disadvantages relative to competitors such as Google.
The challenges of employee turnover have been no secret for this firm. It is not clear that the management team has done anything to successfully stem the tide of many of these high-profile defections.
Although Yahoo's total audience has grown, its relative dominance is continuing to wane as users continue to seek out other websites. Read more 

Management

After several years of management turmoil and a decade of questionable board oversight, we think the company made several moves in 2012 that are more aligned with shareholders’ interests. First of all, the majority of Yahoo’s board of directors was   Read more 

Profile

Yahoo is one of the most heavily visited collection of websites on the Internet. Some of its more trafficked websites include Yahoo Search, Yahoo Mail, and Yahoo News. The   Read more 

The Friday Five 
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