An analyst for Sanford C. Bernstein pegs the value of Yahoo!'s cash and stock holdings below the value of its actual business. No wonder word on the street is that Microsoft is mulling over an acquisition.At $24.09, Thursday's closing price, Yahoo has a market capitalization of $32 billion. When Mr. Lindsay looks at the company's $2 billion in cash, along with its holdings in Yahoo Japan, Alibaba (the Chinese e-commerce firm) and other entities it doesn't run, he comes up with a value of $13.24 a share. That leaves a value of $10.51 a share for the actual business of Yahoo, making the value of Yahoo's core business about $14 billion, or 7 percent of Google's $200 billion market value.
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