Yahoo....Still Stupid.....

Mayer has already told investors that Yahoo is likely to share at least half of the proceeds from what it sells in Alibaba with shareholders. That's probably going to be in the form of a share buyback as opposed to a dividend. (Wall Street likes buybacks because they reduce the number of shares outstanding and increase earnings per share in the process.)

So Yahoo is going to sell stock to raise money.  Then they are going to take the money they raised (from selling the stock) and use it to buy back their stock……..

Sure….Why not.

I am going to go to the store and buy a loaf of bread.  Then I am going to go to the return desk and get my money back.  Makes about as much sense.

http://money.cnn.com/2014/09/02/investing/yahoo-alibaba-ipo-marissa-mayer/index.html?hpt=hp_t4