Post by
HARJAY on Sep 19, 2014 6:44am
Yahoo Valuation by posters on Investors Hub
1.
For every dollar per share increase of BABA over 70 (Yhoo at 43 currently)
Yhoo will increase by .40 cents per share of value because they still own 400 million shares of BABA. 400 mil shs x $70= $ 28 billion dollars.
65% of YHOO or 28/43 is represented by BABA
At 80 BABA then YHOO = 47
At 90 then YHOO = 51
At 100 then YHOO = 55
2.
This is very conservative, based on the market undervaluing YHOO
the current $1 per share of EPS which at 10 times earnings is worth $10 per share higher for YHOO .
i.e. at 80 BABA then YHOO would be 47+ 10 (from above) = $57 price share etc