A Reuters report in February polled eight analysts who estimated that Alibaba could reach a valuation of $140 billion.
This week, the London-based, spread-betting firm "Gray Market" set the over/under line on Alibaba's valuation at an incredible $255 billion. That value was considered high, and the firm brought the line down. Currently the line is hovering between $235 billion and $245 billion.
Admittedly, Alibaba is unlikely to meet a valuation figure in the mid-$200 billion range. However, there's reason to believe the valuation total will climb past the estimated $140 billion...
Grey Market Expectations for Alibaba Market Cap Hit $250 Billion-IG Group
Even before Alibaba Group Holding Ltd kicks off its first underwriter meeting for its planned U.S. IPO, traders are pouncing on the deal, betting the valuation of the Chinese e-commerce giant may leap to around $250 billion (151.1 billion pounds) by the debut, according to IG Group.
Sentiment: Strong Buy
I will try this for the 3rd time and see if it stays up(2 other replies removed for some odd reason).. The grey mkt is actually a company called IG Services, just look up. They do not "set" the levels, it is an actively traded future based mkt. Last I saw was 225/235. Being based in Great Britain, I wonder if the numbers are in GBP. Actually divide the US$ exchange rate(1.65) and you end up with 136/141 bill which is pretty much right on the money with the US analyst estimate of 140 bill. ?? I could be wrong, just sure divides out nicely..
While I do think $235B is ridiculous an article on Bloomberg in which Son had Barclays excluded from the AG IPO for them helping Dish in the Sprint pursuit with the consensus of $153B, by 13 analysts, a week ago.
Load up YHOO shares, their Asian assets alone is worth $50 per share (AG stakes $37B to $40B & YJ stakes $12B). Concentrate your buying strategy in YHOO Asian assets and forget YHOO core in the meantime. A safe strategy is to buy YHOO shares cash baby.
Sentiment: Strong Buy
You always forget that Yahoo will pay a 38% tax on selling those shares. Asian Assets worth $30 per share after taxes. Don't be so misleading! We need Yahoo to start showing revenue increases and a true turnaround to get Yahoo moving again.