UPDATE: Oppenheimer Raises PT on Yahoo! on Good 4Q Alibaba Results

In a report published Tuesday, Oppenheimer analyst Jason Helfstein reiterated an Outperform rating on Yahoo! YHOO, and raised the price target from $27.00 to $30.00.

In the report, Oppenheimer noted, “Following better than expected 4Q Alibaba results, a 12-month extension of the MSFT Search Guarantee and the Tumblr acquisition, we are increasing our price target on Yahoo! to $30 from $27. We now estimate Alibaba's value at $72B and are removing the 14% time value discount, consistent with press reports of Alibaba moving towards an IPO in 2014. Increasing 2013E EBITDA by 3% to reflect the MSFT RPS extension disclosed in YHOO's Form 10-Q. Lastly, while the Tumbler acquisition is estimated at 10x 2013E sales, at the high end of internet valuations, we see this as a conservative attempt by YHOO to strengthen its mobile and social capabilities, while adding more younger users to its platform.”

Yahoo! closed on Monday at $26.58.