Post-Microsoft, Yahoo shares "plunge" from $19 to $24.60 - Valleywag Comments

Post-Microsoft, Yahoo shares "plunge" from $19 to $24.60

WagCurious — Tue, 06 May 2008 08:27:48 PDT

@fogcat5: I'm saying 15% is 15%. Not much on this planet moves 15% in a day. There is a lot of analysis that says once a stock has taken such a pounding it will recover a small amount the next day. Regardless of what the stock is. This is technical trading, not trading because some other shoe is out there. And look at that, YHOO is up 4.47% in the first hours of trading. So yeah, feel free to call me for advice (or "advise", whatever that is).

WagCurious

Post-Microsoft, Yahoo shares "plunge" from $19 to $24.60

fogcat5 — Mon, 05 May 2008 19:24:55 PDT

@WagCurious:

really? can you seriously think that so many people are unaware of the yhoo/msft issue that they let "programmed trading" invest their money in something you thin is so clearly a loser? Maybe their experts should call you each morning for advise?

there's something big in the works -- the second shoe here is yet to drop.

fogcat5

Post-Microsoft, Yahoo shares "plunge" from $19 to $24.60

WagCurious — Mon, 05 May 2008 15:22:32 PDT

@Owen Thomas: This is not a result of the short sellers. There is no need to buy to cover today. If you were smart enough to short prior to today you can happily sit on that gain as long as you want. There might be some people who went long on Yahoo last week that just realized they made the biggest mistake of their soon-to-be-over investing careers. So those guys are taking their losses and heading for the doors (but that's bringing the stock down). Why the stock didn't drop past a 15% loss? Attribute it to programmed trading that kicks in when a stock drops past a threshold. There is a small percentage of speculators out there that just don't get how screwed up Yahoo is, and a 15% discount in a single day is too good to pass up for them. Once the earnings come out next quarter even these guys will have moved on.

WagCurious

Post-Microsoft, Yahoo shares "plunge" from $19 to $24.60

Owen Thomas — Mon, 05 May 2008 14:29:33 PDT

@kouroshk: That's as good an explanation as I've heard -- but if true, shouldn't the support be short-lived?

Owen Thomas

Post-Microsoft, Yahoo shares "plunge" from $19 to $24.60

kouroshk — Mon, 05 May 2008 13:53:23 PDT

Nope, none of those things, Owen. The stock is doing "well" because of short-sellers covering their positions today.

kouroshk

Post-Microsoft, Yahoo shares "plunge" from $19 to $24.60

Nicholas Carlson — Mon, 05 May 2008 13:14:25 PDT

Maybe Wall Street still thinks the Google search deal is on.

Nicholas Carlson

Post-Microsoft, Yahoo shares "plunge" from $19 to $24.60

macbeach — Mon, 05 May 2008 13:08:24 PDT

There is probably some optimism that Yahoo management will respond to this kick in the pants in some creative way. It will probably take a few weeks for that optimism to wear off. But it will.

macbeach

Post-Microsoft, Yahoo shares "plunge" from $19 to $24.60

yahoo360 — Mon, 05 May 2008 13:03:46 PDT

Jerry Yang- The Emperor has no clothes

yahoo360

Post-Microsoft, Yahoo shares "plunge" from $19 to $24.60

WagCurious — Mon, 05 May 2008 11:40:31 PDT

The market responds to earnings reports above all else. When the next quarterly results come in Yahoo probably will hit $19. I mean, they can't sell Alibaba every quarter, can they?

WagCurious