Comments on: Ouch.. that hurts! http://www.dronamraju.com/blog/2006/07/ouch-that-hurts.html Opinions on Business Technology & Life from Ravi Dronamraju Tue, 07 Oct 2008 13:31:16 +0000 http://wordpress.org/?v=2.6.2 By: Garam Chai http://www.dronamraju.com/blog/2006/07/ouch-that-hurts.html#comment-5360 Garam Chai Sun, 30 Jul 2006 03:25:37 +0000 http://www.dronamraju.com/blog/?p=112#comment-5360 I don't think delay in <a href="http://answers.yahoo.com/question/?qid=1006050900611" rel="nofollow">Panama Project</a> alone caused the drop. Even if Panama Project was on schedule, it woudn't make a dent in reality/perception that Google's got the best search engine...and relevance of ads displayed. If my friends and I (and lots and lots of folks like us) don't use Yahoo!'s search, because we believe Google is the best (and we don't see why we shoul d start using Yahoo! search when we're happy with the results coming from Google search), number of folks using Yahoo! search won't increase. Unless this number increases, revenue from ads—with or without Panama—will not increase. What hurt the stock was outlook for future quarters/years. Maybe the outlook for non-search related revenue is also not good? Regarding Vista getting pushed out by years, any number of delays is worth the wait (for Microsoft and users) if it can exceed the staibility Windows XP currently provides. If vista is even more stable, offers more eye candy, comes with (some) security, etc. it will do well for Microsoft. Of course, they will follow Vista with a bunch of apps using services provided by Vista. I am not too sure if Panama Project can be compared with Vista. I don’t think delay in Panama Project alone caused the drop. Even if Panama Project was on schedule, it woudn’t make a dent in reality/perception that Google’s got the best search engine…and relevance of ads displayed. If my friends and I (and lots and lots of folks like us) don’t use Yahoo!’s search, because we believe Google is the best (and we don’t see why we shoul d start using Yahoo! search when we’re happy with the results coming from Google search), number of folks using Yahoo! search won’t increase. Unless this number increases, revenue from ads—with or without Panama—will not increase. What hurt the stock was outlook for future quarters/years. Maybe the outlook for non-search related revenue is also not good?

Regarding Vista getting pushed out by years, any number of delays is worth the wait (for Microsoft and users) if it can exceed the staibility Windows XP currently provides. If vista is even more stable, offers more eye candy, comes with (some) security, etc. it will do well for Microsoft. Of course, they will follow Vista with a bunch of apps using services provided by Vista. I am not too sure if Panama Project can be compared with Vista.

]]> By: Ravi’s Blog » Blog Archive » It’s amazon’s turn http://www.dronamraju.com/blog/2006/07/ouch-that-hurts.html#comment-5177 Ravi’s Blog » Blog Archive » It’s amazon’s turn Wed, 26 Jul 2006 17:50:44 +0000 http://www.dronamraju.com/blog/?p=112#comment-5177 [...] Is this an opportunity to buy? Yahoo has been up 10% in the last week after that horrendous drop. Will amazon do the same? I doubt it. Yahoo has a book value of 6$/share. Apart from this book value they have stake in yahoo! japan and alibaba.com (china). We can put an intrinsic value of the stock at 12-13$. So we would have been paying 13$ for yahoo’s US business. Sounds cheap doesn’t it? So, i can see some justification in a lot of value guys picking up yahoo!. [...] [...] Is this an opportunity to buy? Yahoo has been up 10% in the last week after that horrendous drop. Will amazon do the same? I doubt it. Yahoo has a book value of 6$/share. Apart from this book value they have stake in yahoo! japan and alibaba.com (china). We can put an intrinsic value of the stock at 12-13$. So we would have been paying 13$ for yahoo’s US business. Sounds cheap doesn’t it? So, i can see some justification in a lot of value guys picking up yahoo!. [...]

]]> By: Evan http://www.dronamraju.com/blog/2006/07/ouch-that-hurts.html#comment-4686 Evan Wed, 19 Jul 2006 23:28:53 +0000 http://www.dronamraju.com/blog/?p=112#comment-4686 By the time something concrete emerges, the market will have priced in the upside. Predicting at least 50% reclimb in the next 4 weeks. By the time something concrete emerges, the market will have priced in the upside.

Predicting at least 50% reclimb in the next 4 weeks.

]]>