Well, the greedy fucks of YAHOO could have pocketed alot of cash from MSFT, but their leaders weren't watching the cycle clock and got reamed up the ass for billions of equity. Simple greed.
YHOO is damaged goods. With Yang & friends still around, they would damage it even more if someone tried to acquire it. YHOO is dead money for public shareholders.
YHOO should have taken the money and ran, did they actually think that the stock price would stay where it was without that deal, I dont think YHOO market cap will ever see $40 Billion ever again..YHOO going into the single digits, would be a buyer probably under $5.00. As for Google, stock price is going below $250 and in towards the end 2009 will see its stock drop for the 1st time below its IPO price.
It would take too long to explain to you why I see this, so don't bother asking, but I see all virtual companies going broke, being sold for the surplus value of their office chairs... just like a big, fancy house worth a million bucks back East. At the bottom of the cycle, the builder would be lucky to sell his 5-year old, never-occupied house for $100,000... the cost of materials and labor only... the brick-and-mortar value. This economy has only begun to get shaken out, people. 7,000 was to have been the bottom. With more government meddling, it is now going to be lower, likely combined with a terrorist attack on American or Canadian soil (close to the border, to limit a US response). Diss me if you want. I'm ready for another depression and it won't hurt me a bit. You don't think USA haters aren't watching for opportunity to maximize their impact? Time will tell...
No depression. Hard shakup, cleaning of the mess. But no depression. It's clear that people are diveded in two groups. One group - the deflationists - thinking we're going to see another great depression, and another - the inflationists - which think we're more or less close to the bottom. So clearly you cannot take a prediction for a high cap stock like GOOG without stating on what side you are. If one says GOOG will go under IPO, in fact it is beting on another great depression, and the GOOG down is just a consequence. I don't take this view. I think we're headed towards inflation. Stocks will be stronger than currencies in the next years.
If they are crazy enough to buy AOL for 10 billion, then I can't see this company going anywhere but DOWN. Maybe Ballmer would make a hostile offer at $5.00 when the stock sees $2.00.