Yahoo!: We Expect More Investors To Show Interest In The Stock, Says Oppenheimer
In a research report issued today, Oppenheimer analyst Jason Helfstein maintained an Outperform rating on Yahoo! (NASDAQ:YHOO) and slightly raised his price target to $49 (from $48).
Helfstein noted, “We are raising our price target from $48 to $49 and maintaining our Outperform rating, as YHOO now expects a 35% tax rate on BABA proceeds, or 300 bps below prior estimates. Furthermore, the company expects to announce its tax strategy ahead of, or on, the 4Q call. YHOO’s 3Q EBITDA was 22% above consensus on higher “Other” revenue from BABA royalties and lower G&A. Mobile is now 16% of gross revenue, but shift-to-mobile and programmatic platforms continue to weigh on premium display. Given positive FY estimate revisions and enthusiasm around BABA tax structure, we expect more investors to show interest in the stock.”
According to TipRanks.com, which measures analysts’ and bloggers’ success rate based on how their calls perform, analyst Jason Helfstein has a total average return of 18.7% and a 61.2% success rate. Helfstein has a 23.4% average return when recommending YHOO, and is ranked #109 out of 3337 analysts.