SeoAlchemist

After Microsoft pulled their $47.5 billion takeover bid on Monday, shares of Yahoo plummeted more than 16 percent in late morning bidding, nearly wiping out half of the gains in the company’s stock price since Microsoft made its initial offer in late January.  Yahoo has been holding firm in their assertation that Microsoft’s bid significantly undervalues the company, and Microsoft walked away from a deal on Saturday after it became clear they were not going to budge.

Analysts are optimistic that Yahoo shares won’t fall back down to their $19.18 pre-bid price.  The logic here is that they believe some shareholders may still be hopeful that Microsoft will still come back at some point with an offer.  (more…)