Sunday, October 26, 2014

"I can't see why you wouldn't load up here on Yahoo Inc.(Symbol YHOO) with their motherload of $$billions of dollars of Alibaba stock. But on a sadder note, the sudden passing of television financial anchor and New York Post stock columnist Terry Keenan"

Dow Jones Industrial Average  16,805.41 Week ending 10-24-2014

Terry Kennan - An original producer of Wall Street Week
She was everywhere. PBS, CNN, CNBC, Fox,  The New York Post. No one had a resume that could touch Terry Keenan. 

Suddenly, now at a young 53 years old, she is gone.  Here is a link to a better description of all her achievements. 
Terry Keenan - A life dedicated to Finance and the Stock Markets.

Here is a link to her current work, her weekly New York Post Financial ColumnTerry Keenan - her weekly New York Post column .

I love this picture provided to the press by Terry's sister Linda Keenan, of Terry and Louis Rukeyser, one of her mentors back in the early days which was the very beginnings of financial TV and reporting. Terry Keenan help set the standard that all others must live up to.  

Terry Keenan and Louis Rukeyser

So this week's blog is dedicated to the memory and the successful life of Terry Keenan.

Terry would want me to tell you about the enviable position of Marissa Mayer, The CEO of Yahoo.

Yahoo Inc. (Symbol YHOO, $43.50)

Yahoo, sold 120 million of its 524 million Alibaba shares in the initial public offering for $9.8 Billion dollars. That would leave 404 Million shares of Alibaba stock owned by Yahoo Inc. . Alibaba, (symbol BABA), stock closed on Friday Oct. 24th at $95.95 per share. That would make their remaining shares worth $38.763 Billion. Forbes calculates that Yahoo's 35% investment in Yahoo Japan is worth $5 Billion and it regular web business and it's other investments like Tumblr are worth $10 Billion. 

Marissa Mayer , CEO of Yahoo

Well, when I plug that all into my little calculator I come up with $63.563 Billion dollars.

In the immortal words of the former United States Senator - Everett Dirkson, "A billion here and a billion there and pretty soon we are talking about real money."

I just went to CNBC's website and they tell me that at today's price the company's Total Market Capitalization is $43.3 Billion dollars. Hmmn? Interesting.

Now there is certainly a good chance that Marissa is going to deploy some of this cash to buy some companies that are growing faster than Yahoo, so there could be some good synergy there.

Also, the price of Alibaba is more than likely going to rise from here.

 Yahoo Japan is in a Japanese economy that is showing signs of recovery.

So with a Return on Equity already of 58.4 % on this stock and a PEG Ratio of 0.0104 ,  I see a good "margin for safety" here and lots of room for stock appreciation.

 I would say to buy this YHOO stock right here and on any dips. 

These two are a stock picker's match made in heaven!

Enjoy every moment of your life and strive for excellence like Terry Keenan did.


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