- Web portal provider Yahoo saw its stock price plummet in after-hours trading Tuesday, despite the Internet industry bellwether earlier in the day releasing third-quarter results that slightly exceeded analysts' expectations.
Yahoo closed Tuesday's regular trading session on the Nasdaq exchange at $US82.69, down $3.06 on the day. In after-hours trading, however, the stock plunged another 7.8% to $76.25, according to information from Nasdaq's Web site.
Earlier Tuesday, Yahoo hit a high of $88.75, as the company reported third-quarter earnings per share of 13 cents, a penny more than the 12 cent consensus estimate of analysts polled by First Call/Thomson Financial.
In a statement, Yahoo said that pro forma net income for the quarter ended Sept. 30 reached $81.1 million, on revenue of $295.5 million, as compared to $38.5 million and $155.9 million, respectively, during the same period a year ago.
While Yahoo boasted of increases in page views and registered members, investors reportedly worried that the troubled dot-com sector could result in lower advertising revenue for Yahoo. [See "Yahoo Beats the Street, But the Street Fights Back," Oct. 11, The Industry Standard.]
Yahoo said it had 3,450 advertising and merchant clients in the third quarter, of which more than 1,400 were outside the U.S.
Yahoo, in Santa Clara, California, can be reached via the Web at http://www.yahoo.com/.