On the company's financial health, Yahoo! reported $0.20 EPS for the quarter, beating the analyst consensus estimate by $ 0.06 according to the earnings call on Oct 18, 2016. Mizuho advised their investors in a research report released on Oct 19, 2016. The results easily surpassed analysts' estimates. "I am pleased with our Q3 results", she said.
As for the hack itself - the largest personal data theft in history -Mayer said that Yahoo is going to work to "retain" users' trust. The Company focuses on informing, connecting and entertaining its users with its search (Yahoo search), communications, including Yahoo Mail and Yahoo Messenger, and digital content products, including Tumblr, and its four verticals, such as Yahoo News, Yahoo Sports, Yahoo Finance and Yahoo Lifestyle.
An implied discount on Yahoo's Alibaba stake has increased since Verizon commented on Yahoo's breach, says SunTrust Robinson Humphrey's Bob Peck, who has a Hold rating and $42 price target. Its sale plans also remain on track. Yahoo's quarterly revenue was down 14.6% on a year-over-year basis. The deal, which at the time appeared to be cut and dried, was thrown into uncertainty when Yahoo revealed last month it had suffered a massive data breach in 2014.
In the time frame of the last one month, the share-price has declined nearly -1.70%. Net revenue continued to decline. Whereas for the next year revenues are set at $5.21B by 24 analysts. Although paid clicks plunged 22% YoY, price per clicks ramped up 9% this quarter. The company continued to maintain good relations with Microsoft MSFT, Alphabet GOOGL, Apple AAPL and Mozilla. "The only way it can grow revenue is to spend a lot of money to get those revenues".
The company's "Mavens" revenue, meant to measure forward-looking technologies like mobile, video, native and social, hit $524 million for the quarter, up from $422 million a year ago, the company said. Equities research analysts predict that Yahoo Inc. will post $0.49 EPS for the current fiscal year.
The Verizon deal is expected to close in the first quarter of 2017, leaving at least one more earnings report before the deed is done.
The Internet pioneer in July agreed to sell its core assets to Verizon for US$4.8 billion, ending a 20-year run as an independent company.
RBC Capital Markets on Wednesday reiterated Yahoo!
U.S. internet group Yahoo has reported third-quarter net profit of 162.8 million dollars (£132.4 million).
What happened with Yahoo! this quarter? The company generated $217.9 million of cash from operations, of which $43.2 million was spent on capex. Yahoo shares rose almost two percent immediately after the results were announced. Wall Street analysts were expecting Goldman to earn $3.82 a share, according to FactSet.
Search revenue was $703 million for the third quarter, up from $516 million on a GAAP basis from this time past year, and beating FactSet consensus estimates for $682.2 million. Our Executive VP, Steve Reitmeister, knows when key trades are about to be triggered and which of our experts has the hottest hand.
Yahoo shares now carry a Zacks Rank #3 (Hold).
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