Shares of Yahoo! today closed up 76 cents, or 3.5%, at $22.70 after Barclays Capital’s Anthony DiClemente raised his rating on the shares to Overweight from Equal Weight, based on the company’s minority stakes in Chinese e-commerce outfit Alibaba Group, and in Yahoo! Japan, being undervalued at the current stock price. DiClemente raised his price target on the stock to $26 from $22.
Alibaba’s valuation has risen to $55 billion from the $40 billion at which the company raised capital back in Q3 of last year, writes DiClemente, increasing the value to Yahoo! by $2.23 billion to $8.98 billion.