Bank of America Corp (NYSE:BAC) has recently upgraded Yahoo! Inc. (NASDAQ:YHOO) from ‘Neutral’ to ‘Buy’ rating and downgraded Google Inc (NASDAQ:GOOGL) from ‘Buy’ to ‘Neutral rating. In the last three months Yahoo! Inc. (NASDAQ:YHOO) stock has gained more than 10%, whereas Google Inc (NADSAQ:GOOGL) stock has dropped by more than 10%. ‘Fast Money’ traders talked on CNBC about their opinion on the two stocks.
Fast Money trader Pete Najarian sided with Bank of America and said that he would rather Yahoo! Inc. (NASDAQ:YHOO) under current circumstances.
“I think right now under the circumstances we are under, I would rather Yahoo and for the reasons documented in this report (Bank of America report), they talked about Alibaba, they talked about the tax issues that could be a very positive move for Yahoo. There is a lot of things, and also lets add the whole mix to this, David Tepper took a pretty substantial nice move into Alibaba as well. […] I think the near term catalysts favor Yahoo,” Najarian said.
Fast Money trader Tim Seymour though had other opinions. He said that he would rather Google Inc (NASDAQ:GOOGL) even though Google Inc (NADSAQ:GOOGL) does not have any tax strategy as a catalyst as Yahoo does. He said that Google stock is trading at almost the bottom for a year, but not still broken and just needs a catalyst. He said that he would buy Google stock right away.
Fast Money trader Steve Grasso said that he would rather both Google Inc (NASDAQ:GOOGL) and Yahoo! Inc. (NASDAQYHOO) stock, but he added that he would rather Yahoo stock just a bit more than Google. He added that Google has a lot of trading options and it just has a risk of $10 on the headwind, but it still does have a lot of opportunity.
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