In the third quarter of 2013,
of Third Point LLC chopped his 62 million shares of Yahoo! Inc. (
) to a little over 20 million shares. In the same quarter, Yahoo's
net earnings are down 91% at $297 million (GAAP) year-over-year.
The company made $3.16 billion in the same quarter a year ago.
Here's a company update and billionaire and insider trading
Yahoo! Inc. (
Up 103% over 12 months, Yahoo! Inc. has a market cap of $34.53
billion; its shares were traded at around $33.84 with a P/E ratio
of 9.70 and a P/B of 2.50.
Founded in 1994, Yahoo! Inc. is an internet content and digital
media company. Through its proprietary technology, the company
delivers personalized digital content and experiences, via the
Internet and electronic devices. As a mission, the company is
focused on making the user's daily internet and device habits
inspiring and entertaining while connecting advertisers with
audience. Headquartered in Sunnyvale, California, Yahoo! Inc. has
offices located throughout the Americas, Asia Pacific, and the
Europe, Middle East and EMEA regions.
Yahoo! Inc. reported revenue of $1.13 billion for the third quarter
of 2013, down 5% year over year. The company's adjusted EBITDA was
reported at $331 million for the third quarter, marking a decrease
of 19% year over year. Also in the third quarter of 2013, Yahoo
reported $0.28 for net earnings per diluted share, down from $2.64
in the third quarter of last year. Down by 7%, year over year,
Yahoo's display revenue in third quarter was reported at $470
million; the company's search revenue was off by 8%, at$435 million
for the third quarter, down from $473 million in the same quarter a
year ago. Yahoo also reported that its number of ads sold was up by
1% year over year. Yahoo's 'paid clicks' increased by 21%, but its
'price-per-click' was down by 4%, compared to the same quarter a
year ago. These numbers do not include the company's Korea numbers.
All reporting is GAAP.
Yahoo's CEO Marissa Mayer commented on the company's quarterly
performance in a company press release, "I'm very pleased with our
execution, especially as we've continued to invest in and
strengthen our core business. In Q3, we launched new user
experiences across many of our digital daily habits -- Yahoo
Screen, My Yahoo, Fantasy Sports, and more. Now with more than 800
million monthly users on Yahoo -- up 20 percent over the past 15
months -- we're achieving meaningful increases in user engagement
Yahoo's balance sheet shows around $3.2 billion as of Sept. 30,
2013, down from $6 billion at year's end in 2012. During the third
quarter of 2013, Yahoo Inc. repurchased 59 million shares for $1.6
billion. The company used $163 million for acquisitions, including
Bignoggins, Qwiki, Xobni, Admovate, Ztelic, Lexity, Rockmelt and IQ
Yahoo's CFO Ken Goldman commented in a company press release: "In
Q3, we generated free cash flow of $249 million and returned an
additional $1.7 billion to shareholders through buybacks."
Regarding its IPO of Alibaba and the maximum number of Alibaba
shares that Yahoo is required to sell, Yahoo! Inc. also reported
agreement to an amendment to the share repurchase and preference
sale agreement with Alibaba Group to reduce the maximum number of
shares from 261.5 million shares to 208 million shares.
As of the third quarter of 2013,
12 gurus hold YHOO
, and there is very active insider selling in 2013.
In the third quarter, top guru stakeholder,
reduced his position by 66.77%, selling shares at an average price
of $27.86 per share. His current shares remain at 20,600,000 or
2.02% of shares outstanding.
Check out this remarkable trading history of gains:
Across a five-year trading history,
averaged a gain of 137% on 73,000,400 shares bought at an average
price of $14.36 per share. Loeb has also gained of 62% on
11,000,400 shares sold at an average price of $21.06 per share.
Track historical pricing, revenue and net income:
Check here for detailed GuruFocus analysis of
The updated portfolio of Daniel Loeb of Third Point LLC lists 33
stocks, 6 of them new, with a total value of $4.41 billion, and a
quarter-over-quarter turnover of 26%. The portfolio's top three
sector weightings are consumer cyclical at 12%, financial services
at 10.1% and communication services at 8.1%.
Daniel Loeb is founder of Third Point LLC, a New York based hedge
fund. Loeb's average 12-month return is 22.8%.
Check out Daniel Loeb's complete third quarter activity.
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