The winner of the Yahoo bidding process at least in the short term is going to be Yahoo and maybe a few of its short-term shareholders who timed their purchases right. The loser will undoubtedly be whoever buys the dwindling company.
When Marissa Mayer was named Yahoo's CEO in July 2012 I woke up at an ungodly hour and drove to a TV station in Vancouver to deliver my verdict on her for CNBC. Maybe I was giddy because it was before 5 a.m. and Starbucks wasn't open yet, but I told viewers that "Christ himself (herself) couldn't turn around Yahoo." Yahoo was a yesteryear company in secular decline.
Warren Buffett once said, "When a management with a reputation for brilliance tackles a business with a reputation for bad economics, it is the reputation of the business that remains intact." Mayer was a star at Google, I bet that she wishes she had never left, since Yahoo was doomed with or without her.
According to Tuesday's first-quarter results, revenue less TAC or Traffic Acquisition Cost was $859 million versus $1.043 billion a year ago. That's a nasty 18 percent decline.