Yahoo shares decline after Goldman advises investors to abandon stock


AP

SAN FRANCISCO — Yahoo shares dropped Wednesday after Goldman Sachs advised investors to sell the struggling Internet company’s stock. Goldman Sachs analyst Heath Terry depicted Yahoo as a perpetually misguided company that will have trouble competing against more innovative rivals that have been forging ahead with compelling products that are winning over consumers and advertisers. Yahoo Inc. has spent much of the past three months evaluating whether it makes sense to sell all or part of the company, but Terry predicted the outcome of that review will probably aggravate already frustrated investors. “The segment of management driving the company is intent on trying to revive Yahoo as a company, regardless of the cost to shareholders,” Terry wrote in the Goldman Sachs report. Yahoo declined comment on Wednesday. The company, which is based in Sunnyvale, California, has previously said its board’ strategic review “is being properly managed for the benefit of all shareholders.”