Poor Yahoo! Inc. (NASDAQ:YHOO). Investors weren't pleased, in the final analysis, with the company's third quarter results. Worst of all, Jim Cramer won't pick the stock! In his comments on MAD MONEY tonight, Cramer said he thinks Yahoo! is still going to $22.00, but he has plans. Big plans.
On the negative side, said Cramer, CEO Terry Semel is clueless. Yahoo! needs growth, far better than the 1% posted. How to get that growth? Can't make it, buy it. Cramer thinks Yahoo! needs to go acquire other companies, which he (always the generous fella) will list over the next few days, all of which would boost Yahoo!'s revenue and, thus, share price.
First off? Bankrate, Inc. (NASDAQ:RATE) could jumpstart Yahoo!'s growth. Cramer thinks it could easily be swallowed and assimilated. This acquisition, he said, would be much like IAC buying LendingTree. Bankrate.com has online publishing, print publishing -- the daddy of them all in this market -- content. And for more, we're just going to have to wait for tomorrow's juicy sequel ...
In a call-in Cramer also said he like IAC/Interactive (IACI).
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Reader Comments (Page 1 of 1)
10-18-2006 @ 8:51PM
Kevin Leo said...
Please don't degrade your website with the logic of Cramer The Hack. He's a hustler not a thinker. YHOO needs another acquisition like Terry Semel needs another hole in his head. YHOO should rationalize what they own already and make Panama (search & advert.) the best it can be. This company does not have a growth problem; it has a business model problem in the age of GOOG.
10-18-2006 @ 9:00PM
catherine said...
Yhoo hasn't sunk yet, it needs strength. The economy has played havoc with many tech stocks. Next year could spark optimisim Yhoo, there are ups and downs with GOOG too!
10-18-2006 @ 11:22PM
Stephen Woods said...
I don't know what is going to happen with yahoo. But I can tell you that Cramer doesn't either. The fact is that everyone in the sector is being compared, fairly or not, with GOOG. When goog is posting these kind of growth numbers its going to look bad for Yahoo, because if Goog is gaining share yhoo is losing.
10-19-2006 @ 2:24AM
Gary E. Sattler said...
Cramer, buddy, give yourself a break.
Yahoo has only one thing going for it... people volume.
Yahoo shouldn't buy a thing.
Yahoo should be bought... swallowed... and belched back up in a usable form.