Microsoft will want their search engine. Whether is it useful or not is another issue. At this moment, Microsoft will do anything that can even vaguely promises some competition with Google. IMHO, if Yahoo lost with that engine, I don't see how Microsoft is going to win with the same engine. Putting together both their search engines will be a nightmare for any software team.
I am sorry, but that is just a stupid opinion.. Are you saying that companies (ALL?) are loosing money? Of course you can run a profitable company even in a recession, hell even in 1929 there were millions of companies that were doing well..if not better! Debt collection agencies, repossession businesses, Campbell, McDonald's, Burger King, Used Car Salesmen, Insurance Brokers, Interest Rate bearing assets Brokers, Pawn Shops, Discount Warehouses etc. etc.. are ALL doing GREAT! Sure, there are sectors that as a 'whole' are doing a lot worse BUT there are always opportunities for well run businesses to gain market share in a period of financial distress!
Exactly! In a booming economy, growth stocks are the ones to buy, in a recession, there are defensive stocks for you to maintain the value of your portfolio, not all stocks go down together, some thrive in a recession as Axel has pointed out.
You have a very valid point. I just 'know' that Microsoft are smart enough to understand that Google will NEVER be allowed to buy Yahoo or any parts of their search engine tech (NO way that the U.S. gov allows 75% market leader to purchase Nr2). And since that 'cannot' happen, they can bide their time with Yahoo. Microsoft are also bidding VERY heavily for Search Engine dominance in the Mobile sector and actually doing a fairly good job competing with Google in that niche. Does Microsoft want Yahoo's share of search/web services? YES. Are they willing to pay a 'Premium Price' for it? I think not!
Everything given. I DO think that an investment in Yahoo at today's price might be a VERY sound investment seen over 14-72 months. For anyone wanting to invest I would recommend either purchasing when the stock breaks the $12.00-$12.30 resistance level (short term) or buy if the share hits around $9 (Short/Long Term). I think everything considered that a 'chop-value' (Selling assets) for Yahoo could be around $20/share and a long term 'best case scenario' might bring around $40 in 2-3 years with the right management.
I think they made a great desicion in selling it, their profits would have dramatically decreased if they did not have sold it.