Is Yahooâ€™s Business Worth Less Than Nothing? - Bloomberg View
Eric Barker stashed this in Tech
Possible impact of Alibaba IPO on Yahoo:
Alibaba is valued at aboutÂ $153 billion, according to analysts surveyed by Bloomberg News. Yahoo itself is worth about $39 billion as of this writing and this includes its ownership of about 24 percent of Alibaba. If you subtract that out you are left with a company thatâ€™s worth just a little more than $2 billion -- less than AOL Inc., Groupon Inc., or Zynga Inc.
Yahoo also has a 35 percent stake in Yahoo Japan, a publicly traded company now valued at about $32.3 billion. Subtract out Yahooâ€™s stake and this means that investors seem to value Yahooâ€™s own business at less than nothing -- not what you would expect from a profitable enterprise.
Time for Yahoo to buy itself private?