[at Seeking Alpha] – Summary Although Yahoo’s( YHOO ) stock price has grown rapidly in recent quarters, Yahoo still appears cheap. The market is undervaluing the company’s investment in Alibaba and under-rating the significant …
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Yahoo! Inc. (YHOO), valued at $40.16B, opened at $40.00.
During the trading session, YHOO traded between $39.40 to $40.00 with a one year range of $18.89 to $40.27.
YHOO shares are currently priced at 26.95x this year’s forecasted earnings, which makes them relatively expensive compared to the industry’s 16.64x forward p/e ratio.
In a review of the consensus earnings estimate this quarter, 26 sell-side analysts are looking at $0.38 per share, which would be $0.06 better than the year-ago quarter and a $0.03 sequential decrease. Investors should also note that the full-year EPS estimate of $1.46 is a $0.29 better when compared to the previous year’s annual results.
The quarterly earnings estimate is predicated on a consensus revenue forecast of $1.20 Billion. If reported, that would be a 1.64% decrease over the year-ago quarter.
In terms of ratings, CRT Capital Initiated YHOO at Fair Value (Sep 19, 2013). Previously, Needham downgraded YHOO from Buy to Hold.
When considering if the stock is under or overvalued, the average price target is $36.13, which is 9.67% below where the stock opened this morning.
Yahoo! Inc. (NASDAQ:YHOO), is a global internet services company that operates the Yahoo! Internet portal. It provides varied products and content, from email and search to media streaming and downloads. Its main revenue sources come from advertising and marketing services. The company was founded in 1994 and is headquartered in Sunnyvale, California.
Tag Helper ~ Stock Code: YHOO | Common Company name: Yahoo | Full Company name: Yahoo! Inc. (NASDAQ:YHOO) .