While activist investors, CEO Marissa Mayer and Yahoo! Inc’s (NASDAQ:YHOO) board of directors continue to dispute how they will get the most out of the company, a decision has been made to shut down Yahoo Screen. According to Variety.com, Yahoo! Inc. (NASDAQ:YHOO) has decided to shutter the offering and move content onto the various digital magazines that the company controls.
In what is likely another cost-cutting measure by the company, which wrote down $42 million last year related to Yahoo Screen, this move is likely one which may not please all of their users, especially those who have become fans of the company’s original series which launched last year. This included the former comedy from NBC ‘Community’.
“At Yahoo, we’re constantly reviewing and iterating on our products as we strive to create the best user experience,” said a Yahoo rep on Monday. “With that in mind, video content from Yahoo as well as our partners has been transitioned from Yahoo Screen to our Digital Magazine properties so users can discover complementary content in one place.”
The stock is down 5.43% or $1.8 following the news, hitting $31.45 per share. Approximately 12.07M shares traded hands. YHOO shares have declined 22.54% since May 29, 2015 and are currently downtrending. It has underperformed the S&P500 by 19.53%.
From a total of 25 analysts covering Yahoo! Inc. (NASDAQ:YHOO) stock, 16 rate it a “Buy”, 0 a “Sell”, and 9 a “Hold”. This means that 64% of the ratings are positive. The highest target price is $62 while the lowest target price is $32. The mean of all analyst targets is $42.71 which is 35.80% above today’s ($31.45) stock price. Yahoo! Inc. was the topic of 59 analyst reports since July 22, 2015 according to the firm StockzIntelligence Inc. SunTrust maintained shares on December 10 with a “Buy” rating. Cowen & Co maintained shares with a”Market Perform” rating and a $35 target share price in their report from an October 21. FBR Capital maintained YHOO stock in a recent report from December 9 with a “Outperform” rating. RBC Capital Markets maintained the rating on October 21. RBC Capital Markets has a “Sector Perform” rating and a $42 price target on shares. Finally, Oppenheimer maintained the stock with a “Outperform” rating in a report they issued on an October 21.
The institutional sentiment decreased to 0.8 in Q2 2015. It’s down 0.23, from 1.03 in 2015Q2. The ratio turned negative, as 113 funds sold all their Yahoo! Inc. shares they owned while 235 reduced their positions. 60 funds bought stakes while 220 increased their total positions. Institutions now own 619.16 million shares which is 2.60% less than the previous share count of 635.68 million in 2015Q2.
Stonehill Capital Management Llc holds 60.89% of its total portfolio in Yahoo! Inc., equating to 5.71 million shares. Zenit Asset Management Ab owns 4.42 million shares representing 22.25% of their total US portfolio. Moreover, Indaba Capital Management L.P. has 21.81% of their total portfolio invested in the company, equating to 2.31 million shares. The United Kingdom-based Davide Leone & Partners Investment Co Llp has a total of 17.99% of their portfolio invested in the stock. Owl Creek Asset Management L.P., a New York-based fund reported 9.97 million shares owned.
Yahoo! Inc. is a technology company