Yandex, the largest search engine operator in Russia, posted earnings which bested earlier analyst forecasts in a financial report released today. Financial observers noted that this record breaking figure will extend the Russian tech firm's gains from a valuation rocket against rival Google Inc.
OAO Sberbank reports that the stock increase 3.1% to a US$31.81 two year high in the New York trading yesterday. This jump valued the company at almost 30 times its earnings. This is also equal to a 43% premium over Google, and 23% premium over Chinese search engine firm Baidu.
Yandex's previous share of the Russian search industry was reported to be 60.4% in 2012. This year, analysts estimate that Yandex's gained to almost 61.7% due to rising demand in online advertising space in the country. Data were collated by LiveInternet.ru.
Google's hold of the Russian search engine market accounts for only 26%.
"It's premium to Google and Baidu is justified because it has posted high growth and has potential to grow further," commented analyst Anna Lepetukhina.
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