Analyst Ronald Josey of JMP Securities shared his expectations for Yahoo! Inc. (NASDAQ:YHOO) and what to look for in its earnings report today. The analyst anticipates earnings to be similar to his expectations, but he states that he will have emphasized focus on updates for Yahoo’s “strategic alternatives” in which it can spin off specific parts of its business. Reports have indicated that the final selection process of bidding will occur next week with many high-quality bidders including Dan Gilbert of Quicken Loans group.

Josey mentions Search revenue, paid click growth, and Yahoo’s Gemini ad platform as major metrics in the company’s upcoming earnings report. He is interested in signs showing an improvement in Search results, especially paid click growth. While most of Yahoo’s business does not have a positive outlook, Josey believes that 2Q Mavens revenue, which includes Mobile, Video, Native and Social ads, will increase 7% Y/Y. The analyst will also keep an eye on whether Yahoo’s video monetization stabilized and if there was growth in native ad formats.

The analyst expects 2Q16 net revenue of $846.3 million, which is a decrease of 18.9% Y/Y. The analyst also makes note of the risk association with Yahoo due to the amount of organizational change that is going on at the company.

Josey remained sidelined on YHOO stock, reiterating a Market Perform rating.

According to TipRanks, Josey has a yearly average return of 2.4% and a 53% success rate. The analyst has a 0.24% average loss when recommending Yahoo, and is ranked #1393 out of 4,060 analysts.

TipRanks shows that out of the 24 analysts who rated Yahoo in the last 3 months, 46% gave a Buy rating, 50% gave a Hold rating and 4% gave a Sell rating. The average 12-month price target for the stock is $42.40, marking a 12.41% increase from current levels.