Microsoft Bid for Yahoo – Deadline Passes

So as many of you are aware, those that pay attention to the markets anyhow, the deadline for the buy-out offer from Microsoft has passed.  Yahoo! is still standing firm saying they are worth at least $40 a share.

Now here is my Rant!

Is Yahoo! in the know on something the rest of the market AND regular day people like you and I have no clue about?  Is Microsoft really undercutting and driving down Yahoo!’s value?  To answer these questions I guess we would want to see how Yahoo!’s stock has performed for the past 3 years right?  Okay lets do that:

(Okay I’m bad, using Microsoft Money to track market changes for Yahoo! here)

Okay so we see on the chart that the last time they even SAW a $40 price per share ($40.23 actually) was in November 2005.  Perhaps I haven’t looked far enough back right, you know to see the gem of a deal they think they are?  Lets go back 5 years now.  Nope, November 2005 is still the best at $40.23).  Wow, I must really be missing something here.  Let’s think about this for a moment even if I was to look back and try and see where they are coming from going back 10 years I still don’t see where they think that they can make $40 per share or more in the near (say 3 years) future?  Yes before and briefly into 2000 they did well.  As we all remember (and sorry if I make you shudder) the .com bust of our age revalued Yahoo!  Since  June of 2006 Yahoo! has been unable to break and run up to $35 per share.  Seriously the offer from Microsoft was a fair one.

Now they are faced with a hostile take over or a steady decline for some time.  Should have taken the offer, Beavis.