The Zacks Analyst Blog Highlights: Yahoo!, Google, Pandora Media, Facebook and Tesla Motors

News provided by

Apr 02, 2014, 09:30 ET

CHICAGO, April 2, 2014 /PRNewswire/ -- Zacks.com announces the list of stocks featured in the Analyst Blog. Every day the Zacks Equity Research analysts discuss the latest news and events impacting stocks and the financial markets. Stocks recently featured in the blog include the Yahoo! Inc. (Nasdaq:YHOO-Free Report), Google Inc. (Nasdaq:GOOG-Free Report), Pandora Media Inc. (NYSE:P-Free Report), Facebook (Nasdaq:FB-Free Report) and Tesla Motors, Inc. (Nasdaq:TSLA-Free Report).

Today, Zacks is promoting its ''Buy'' stock recommendations. Get #1Stock of the Day pick for free.

Here are highlights from Tuesday's Analyst Blog:

Is Yahoo Set to Build YouTube's Competitor?

After failing in its attempts to acquire Dailymotion, a video streaming website, for around $300 million last year, Yahoo! Inc. (Nasdaq:YHOO-Free Report) is apparently planning its own video platform reports Re/code. However, Yahoo! has not yet commented on the speculations.

Google Inc. (Nasdaq:GOOG-Free Report) is up and away in the video segment with its user-generated YouTube platform. Reportedly, Yahoo! intends to carry out its plans by poaching YouTube's big star talent and famous networks by offering them better money than Google. Yahoo! appears to be taking advantage of content providers' dissatisfaction regarding the money they make from YouTube.

Reports also indicate that Yahoo! is trying to attract YouTube producers by promising them better ad revenues or assured ad rates for their videos. It is also offering enhanced promotion on its homepage along with the privilege of vending their advertisements through its sales division.

In the initial phase, Yahoo! will only allow popular content providers to broadcast videos on its website for a limited time frame, unlike YouTube where anyone and everyone can post their content. Gradually, Yahoo! will either build up its own content administration structure or buy an existing video service provider like Vimeo to increase its availability to a larger audience.

But Yahoo! faces a number of challenges when it comes to launching its own online video platform. Yahoo! requires a huge amount of cash to meet the cost of poaching YouTube's talent. When Alibaba Group, a Chinese Internet company, finally makes its Initial Public Offering (IPO), Yahoo will earn around $37 billion after selling its share in Alibaba, which it can invest to buy the talent.

YouTube is a leader in both the video and music streaming segments with websites like Pandora Media Inc. (NYSE:P-Free Report), Spotify and others lagging far behind.

If the rumor turns out to be true, Yahoo! might soon have a competing platform, but whether it is viable or not will depend on traffic.

Currently, Yahoo! holds a Zacks Rank #3 (Hold).

A better-ranked stock in the same sector is Facebook (Nasdaq:FB-Free Report), carrying a Zacks Rank #2 (Buy).

Tesla Up Following Fed Investigation

Tesla Motors, Inc. (Nasdaq:TSLA-Free Report) gained 4.5% to reach $216.72 on March 28, after federal safety regulators closed their investigation on the safety features of Model S, which was started after two car fires in the U.S. last year. The fires had raised safety concerns in the minds of many consumers and even affected the sales of the company.

However, Tesla took various measures to increase the safety of its cars, including a wireless update to increase the ground clearance of the car during high speed travel. Now the electric carmaker has further enhanced the safety of Model S by adding three layers of protection under the battery pack, which, according to Tesla, will reduce the safety risk due to any underbody impact to almost zero. This action resulted in the closure of the safety investigation against the company.

The first shield is a rounded, hollow aluminum bar which either deflects the object hitting the car from below, or absorbs the impact. The second layer is a titanium plate, which protects the front underbody components from road debris. The third shield is a shallow angle, solid aluminum extrusion that absorbs any remaining energy from the impact, provides another layer of deflection and makes the Model S ramp up over the object if it is not compressed or deflected.

These three shields are in addition to the steel and ceramic firewall that was already present between the battery pack and the passenger compartment of the car. Tesla has started adding the shields to all cars manufactured after March 6. The company will also fit the previously manufactured cars with the shields upon customers' requests or during a normally scheduled servicing.

The protective shields will not affect the drag or lift of the car. Moreover, it will only affect the range by 0.1%.

Tesla currently carries a Zacks Rank #1 (Strong Buy).

Today, Zacks is promoting its ''Buy'' stock recommendations. Get #1Stock of the Day pick for free.

About Zacks Equity Research

Zacks Equity Research provides the best of quantitative and qualitative analysis to help investors know what stocks to buy and which to sell for the long-term.

Continuous coverage is provided for a universe of 1,150 publicly traded stocks. Our analysts are organized by industry which gives them keen insights to developments that affect company profits and stock performance. Recommendations and target prices are six-month time horizons.

Zacks "Profit from the Pros" e-mail newsletter provides highlights of the latest analysis from Zacks Equity Research. Subscribe to this free newsletter today.

About Zacks

Zacks.com is a property of Zacks Investment Research, Inc., which was formed in 1978. The later formation of the Zacks Rank, a proprietary stock picking system; continues to outperform the market by nearly a 3 to 1 margin. The best way to unlock the profitable stock recommendations and market insights of Zacks Investment Research is through our free daily email newsletter; Profit from the Pros. In short, it's your steady flow of Profitable ideas GUARANTEED to be worth your time! Register for your free subscription to Profit from the Pros.

Get the full Report on YHOO - FREE

Get the full Report on GOOG - FREE

Get the full Report on P - FREE

Get the full Report on FB - FREE

Get the full Report on TSLA - FREE

Join us on Facebook: http://www.facebook.com/home.php#/pages/Zacks-Investment-Research/57553657748?ref=ts

Zacks Investment Research is under common control with affiliated entities (including a broker-dealer and an investment adviser), which may engage in transactions involving the foregoing securities for the clients of such affiliates.

Media Contact
Zacks Investment Research
800-767-3771 ext. 9339
[email protected]
http://www.zacks.com

Past performance is no guarantee of future results. Inherent in any investment is the potential for loss. This material is being provided for informational purposes only and nothing herein constitutes investment, legal, accounting or tax advice, or a recommendation to buy, sell or hold a security. No recommendation or advice is being given as to whether any investment is suitable for a particular investor. It should not be assumed that any investments in securities, companies, sectors or markets identified and described were or will be profitable. All information is current as of the date of herein and is subject to change without notice. Any views or opinions expressed may not reflect those of the firm as a whole. Zacks Investment Research does not engage in investment banking, market making or asset management activities of any securities. These returns are from hypothetical portfolios consisting of stocks with Zacks Rank = 1 that were rebalanced monthly with zero transaction costs. These are not the returns of actual portfolios of stocks. The S&P 500 is an unmanaged index. Visit http://www.zacks.com/performance for information about the performance numbers displayed in this press release.

Logo - http://photos.prnewswire.com/prnh/20101027/ZIRLOGO

SOURCE Zacks Investment Research, Inc.