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Yahoo Market cap is 36.9B, Google Market cap...
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john_d_ayer
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Yahoo Market cap is 36.9B, Google Market cap...

...is 163.56B, Why is Yahoo so worthless? A couple of months ago I asked why Google was worth three times what Yahoo is worth. Now Google is worth 4.4 times what Yahoo is worth.At the time it looked like Yahoo might be a better long term investment, but, Yahoo has gone down and Google has gone up.In fact the one year trend is slightly down on Yahoo and the one year trend is up on Google.Anyone have any reasons why Yahoo is worthless?I am still watching for a good buy point, after a three month up trend and I have not been able to catch one.Irreverent, not irrelevant. :-)Linux is a good reason for success, IMO, ,but, it does not explain the difference.Yahoo is older and does have a higher PE than Goggle, but neither are PE's that I really like being an old fashioned 10-20 guy myself.The thing that bothers me is Market Cap, what the company is actually.worth. I see a lot of similarity between the two companies so even though the stock price is different I expect the companies to be worth about the same.Yahoo opened in '96 at 1 and went up over a hundred. Far better gains than Google, even at the price it is now if you had held it you would have made more than buying and holding Google.The long term trend for Yahoo is up, but, the short term trend is down.I just cannot see why investors think Google is worth 4.4 times what Yahoo is worth.There are great answers that I appreciate, and I have really considered all of these issues, except the Linux idea.Maybe the name recognition is worth the 4.4 times difference.By the way, "worthless" is actually "worth less". Irreverent not irrelevant. :-)

07-03-2007 10:37 AM
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