Should Yahoo break up?
In a report released last week, analyst Jeffrey Lindsay of Sanford C. Bernstein & Co. believes Yahoo! would be worth more if it were split up or given a major overhaul, potentially boosting shares from $27 to $45.
Lindsay told Reuters that the overhaul may consist of outsourcing paid search to rival Google, cutting staff by 25 percent, and restructuring its graphic display advertising, which has allegedly suffered due to Yahoo's inability to profit from its ad network.
The analyst calls for Yahoo to raise the white flag in the internet giant race, especially when new research finds that major portals' influence is waning.
Yahoo CEO Jerry Yang is currently completing a 100-day review of the company. Its acquisition of BlueLithium, a behavioral targeting ad company, was approved by the FTC last week.