If Yahoo's (YHOO) CEO Terry Semel left shares would rise $5
On Jim Cramer's Stop Trading! segment on Tuesday (6/12) Cramer reiterated his prediction that if CEO Terry Semel, who is on a "permanent intellectual vacation," will take a "permanent travel vacation," Yahoo! Inc.'s (YHOO) stock would rise $5.
This time, Cramer is on the money and it very likely could happen.
Yahoo's stockholders meeting this Tuesday was brutal for Terry Semel, he was the scared dog trying to fight it's way out of the corner and no one was impressed by what he had to say. Almost a third of the shareholders at the meeting voted against Semel's continuation as CEO, and there was no shortage of dissenters regarding his $70 million salary while Yahoo! Inc. stock fell nearly 40% during the year, reports BusinessWeek's Robert Hof.
Investors should give the company's new Panama ad platform time to work, Semel told shareholders at the New York meeting. "Yahoo will definitely get a fair share of a much larger marketplace," he predicted. "Before we had Panama, we couldn't compete effectively." Sorry Terry, but your time is up and I'll give you another 60 days in the CEO chair before some how big money gets its way and out you go. Maybe Carl Icahn can come in and buy up half the company then demote Semel to make his coffee and press his shirts for the rest of 2007.
Eric Jackson is doing everything in his power to push Terry out the door, and he represents about 80 Yahoo stockholders who own a combined 2 million shares. Jackson's group believes six other directors on Yahoo's 10-member board should be bounced: Roy Bostock, Ron Burkle, Eric Hippeau, Arthur Kern, Robert Kotick, Edward Kozel and Gary Wilson. He has a plan and you can view it all on YouChoose.net - Yahoo! Shareholders Unite for Plan B
According to Eric Jackson:
It's been a terrible last two years for Yahoo, in terms of its stock price. YHOO is down 32% while the S&P500 is up 17%; the NASDAQ is up 11%; GOOG is up almost 150%. YAHOO management has been slow to capitalize on opportunities and poor in implementing effective strategies on partnerships and acquisitions.
I believe that shareholders can force change at Yahoo and increase the value of its shares. As a Yahoo! shareholder, I am proposing Plan B, which includes the essential changes necessary to be made by Yahoo to increase shareholder value. If 10% of all shareholders pledge to support Plan B our proposal must be considered. Join me in pushing for a change. Lets take back control of one of the greatest Internet companies in the world and see the stock price grow. Click to Learn More (and the YouTube video is great)
So Mr. Semel, it's time to back your bags, you're not wanted and it's only a matter of time before the people that once loved you throw you out on the street.
Article written by: Eric Cheshier
Article posted on: June 14th 2007
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Disclaimer: The Author does not own any shares or positions in any of the securities mentioned in this publication.