Another day in the Stock markets and Yahoo share price continues to fall. At $18.75 it is the lowest share price Yahoo has had since September, 2003 ($17.54). However, it is not the all time lowest, we have to remember that Yahoo has been on ups and downs. For example, back in July 1996 its share price was $0.69. How much did you manage to buy then? :D Looks like Yahoo will have a hard time to repeat the big UP of December 1999, when the share price was $100.65.Looking back to this year, Yahoo had another decline, when the share price tumbled to $19.18 – it was in the end of February. And what significant developments did we have? Of course, the Microsoft bid to buy Yahoo, which saw the share price going up to $29.

As the deal went nowhere and the amount of internet advertising declined, so did the share price.

So where is Microsoft at the moment? Looks like the bid to buy Yahoo hasn’t affected Microsoft too much. Microsoft’s share price has, however, declined from $35 in January to $26 now, but it is mostly due to the problems with Vista.

What does the experts predict? Some say that this decrease is due to the seasonal effect (oh, give me a break) and because of the shrinking demand for online advertising. We should also consider the overall economic climate in the world, which is not very healthy. The decline of online advertising, in my opinion, can be also induced by the ad-blindness of visitors. We have to think of new, more effective ways to advertise!



Please add your comments below. How do you think, where are we heading towards?

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