What happens if ???? (investor, stock, buying, sell)

[Armyman2007]

I bought some Yahoo (YHOO) today because it was near its 52WL. It seems like Yahoo is wanting to get bought out by Microsoft. What would happen to a stockholder if that goes through?

Would my Yahoo stock be converted to Microsoft stock?

I read that Yahoo would sell to Microsoft for $33 a share? Would I get $33 for each share I own?

Thanks.

[goodbyehollywood]

Oh, wow, no, you have some bad info. MSFT offered to buy YHOO for $31-$33 per share back in the summer. Jerry Yang acted like an arrogant jerk and held out for more, even though that was a very generous offer. MSFT yanked the offer and YHOO lost half its value. If MSFT does present another offer, they will offer far, far less and YHOO should, frankly, be glad to get it.

Generally, the value of your YHOO shares is converted to MSFT shares, based on the buyout price.

[StealthRabbit]

be careful,

YHOO is priced today at what folks believe it will be worth in the future (That's not much, and may be wrong +/-)

Look at what gives it value - largely intangible; that is a problem when you end up on the auction block
Much of the previous value WAS momentum up. Ballmer is no longer interested in buying YHOO, (burned twice) but has considered a partnership (that would not bring much value to YHOO). http://biz.yahoo.com/ap/081107/as_au...oft_yahoo.html
There is shareholder litigation against YHOO, that is not a positive thing.

I hope they survive, but that is questionable.

[j_k_k]

I'm thinking Yahoo may turn to Boohoo pretty quickly. If you can get away with a short-term gain, you might consider it.

[Stephan_K]

MSFT will never buy Yahoo now. Too much has changed since the original offer and MSFT is probably happy it didn't happen today. It's a shame that ying-Yang was such a ying-yang, he passed up a deal of multiple lifetimes and it probably would have been a good deal for everyone !

MSFT will wait until there is little to no value left in Yahoo then step in an buy the components they want at deep discounts and forget about the rest. Provided someone else doesn't step in while they continue to wait.

Maybe what was marketable to MSFT about Yahoo back in the summer is no longer there in the current global economic situation ! Hard to tell but that seems to be the implication from Steve-O's many comments on it. Last I heard discussed Steve said in so many words no way, we gave them 2 offers and Yang was an idiot to rejected them. I agree...

DON"T buy Yahoo IMHO. Big gamble, but hey... the market is a casino right ?

[HappyTexan]

Ain't happening..Ballmer told Yahoo "no way".

Microsoft crushes Yahoo!'s hope of a new deal - Times Online

[goodbyehollywood]

I think it's just gameplaying. I think MSFT still wants YHOO, but they're pretending they don't so the price will collapse even more. Smart move on Ballmer's part, since YHOO was down nearly 15% today on his announcement. I can see YHOO dropping another 50% before MSFT makes an offer. Heck, it could be at $6 by next week. YHOO is losing share, the management is inept, investors hate it, brand equity is in the toilet and the company foolishly employs way too many workers doing too little work for too much money. MSFT wants YHOO's search and they want to punish Yang for his stupid, pointless arrogance, so they will lie in wait like a spider until they can snatch the fly when it's almost dead. This time next year, there will be no YHOO.

Disclosure: I sadly own YHOO and have been praying for somebody, anybody, to buy it for months now. It's the second-worst stock I have ever owned.

[trishguard]

I would never buy an internet stock. Dump it while you still can.

[forest beekeeper]

Originally Posted by trishguard

I would never buy an internet stock. Dump it while you still can.

I agree

[lchoro]

What if Microsoft doesn't really hope to buy Yahoo at all?

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