New 52-Week High for AOL Inc. (AOL)

AOL, Inc. (NYSE:AOL) shares touched a new high of $27.91 today, the highest point since its November spinoff from Time Warner Inc. (NYSE:TWX) but can the trend continue?

We'll find out when AOL will host its quarterly conference call to discuss first quarter 2010 financial results on Wednesday, April 28, 2010 at 10:00 a.m. Eastern Time (ET). AOL will issue a press release reporting results before the conference call on Wednesday, April 28, 2010.

WHY THE JUMP?
(kara.allthingsd.com) It could be due to yesterday’s announcement that the company might shut down Bebo, the social networking site it egregiously overpaid for in 2008–$850 million in cash–only to see the asset dwindle badly.

Rather than finding a buyer, said the investor, a shutdown might allow AOL (AOL) to write down some of that acquisition, yielding it hundreds of millions of dollars in tax savings.

AOL bought Bebo in 2008, when it was still a Time Warner (TWX) division.

In addition, AOL is in the midst of selling off its ICQ instant-messaging business–likely to foreign buyers, in one of the slowest transactions ever. Once that deal is done, it could nab the company upward of $100 million to $150 million in cash.

SOURCE: http://kara.allthingsd.com/20100407/why-are-aol-shares-up-today-maybe-fo...