Yandex NV (NASDAQ:YNDX) has been receiving significant attention from analysts, who believe that the company might post EPS of $0.18 for the current quarter. In its last quarterly filing, the company had managed to report an EPS of $0.13. Those earnings were 23.53% below the expected EPS. At the moment, analysts rate YNDX a strong buy and expect it to reach a share price of $46 in the coming year.
Unfortunately, with ruble sliding against the dollar, YNDX has become one of the most volatile stocks in the market. Recently, the stock was seen surging up the charts, after it accused Google for using unfair practices in the Russian region. Furthermore, since Google was found guilty of violating anti-trust laws in the region, things started going in favor of Yandex. Additionally, the upward trend has been holding on as well. However, analysts believe that this surge might not last too long and the company would soon turn volatile, once more. A number of analysts, including Zack’s, have started to change their opinions about the company and are recommending the stock a sell.
To stop this steep downward trend, Yandex has begun updating its advertising platforms and auction systems. As per the new rules of the company, adverts for the company’s search engine pages would now be selected after assessing the quality and bids of those ads. Yandex believes that this will help the companies attract more traffic to their websites, at an affordable price. YNDX believes that the cost of traffic and returns on investments, have become more important than having adverts place in premium positions. The new ranking model will also calculate the cost per click, depending on the number of clicks in a particular position. If an advertiser is moved up and is able to attract additional clicks in the new position, it would only be entitled to pay the price of the additional clicks.
Yandex NV (NASDAQ:YNDX) completed the September 15 session after trading only 4,600 shares and reporting an increase of 1.58% to its share value, before closing at a share price of $12.24.
