By John McBride | Published: September 04, 2007 – 08:36PM CT
Peck gave Yahoo! the coveted “top pick” status Tuesday, and said share prices could hit $30 by the end of 2008. After being down 11 percent on the year, shares of Yahoo! jumped 5.5 percent to just under $24 on the news. Sure the company has problems, but it’s worth buying because the company is not doing well and therefore makes an attractive takeover target. I’m not sure I follow the logic, but there it is.
As Bloomberg pointed out, that’s the biggest jump for Yahoo! since May, which coincidentally is the last time speculation about a Microhoo! hook-up ran amok. When you consider what happened to Research In Motion’s stock last week—an all-time high on takeover-by-Microsoft rumors—you wonder if some people aren’t making a living on this stuff.