Desperately Seeking a Bottom
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With so many Internet stocks hitting new lows every day, it was only a matter of time before the entire market followed suit. On Thursday, the Nasdaq ended trading at 3074.68, beating its previous low close for the year of 3164.29 on May 23. Meanwhile, internet.com's Internet Stock Index, or ISDEX, finished at 595.79, barely above its May 26 price of 592.61, the current yearly low. And the numbers you see below mark the fifth consecutive week that all 13 Internet sectors are down. That hasn't happened in the 18 months since StockTracker debuted in April '99. It's also only the second time that percentage losses for all sectors were in double digits. The last time that occurred was right before Memorial Day in late May. And after that? Well, most sectors gained (slightly) in the next week, and the week after that saw a phenomenal bounceback in which all groups posted double-digit gains, with two advancing an astounding 31%. Don't count on a repeat performance, though. We have a long way to go before the earnings season from hell is over. At best, we could see a few sectors gain next week; at worst, another across-the-board nosedive. Keep those safety belts fastened.
NOTE: Regarding the presidential election, the first candidate to offer psychological therapy tax credits for Internet investors gets my vote.
*Market cap figures are in millions. PERFORMANCE BY SECTOR Ave. 7-Day % Change E-commerce Enablers -11.5% E-tailers -12.6% Speed/Bandwidth -12.6% Security -13.5% Financial Services -14.2% Advertising/Marketing -14.4% Wireless -15.1% Performance Software -15.7% ISPs/Access Providers -15.9% Consultants/Designers -16.1% Content/Communities -17.1% Internet Services -18.3% Search/Portals -23.5% TOP 10 GAINERS 7-Day % Gain Category RSAS RSA Security 25.2% Security ABTL Autobytel.com 24.1% E-Commerce Enablers CORI Corillian 23.7% E-Commerce Enablers VIGN Vignette 18.6% Performance Software LQID Liquid Audio 17.4% E-Commerce Enablers IMNY I-Many 14.9% E-Commerce Enablers LNTE Lante 13.8% Consultants/Designers HAND Handspring 13.8% Wireless IBEM iBEAM 12.1% Speed/Bandwidth CVGP Convergent Group 11.5% Consultants/Designers TOP 10 LOSERS 7-Day % Loss Category BWAY Breakaway Sol. -62.5% Internet Services RAZF Razorfish -53.5% Consultants/Designers ITRU InterTrust -51.1% Security MRBA Marimba -50.3% Internet Services NAVI NaviSite -46.8% Internet Services SINA SINA.com -44.0% Portals EQIX Equinix -42.1% Internet Services PCLN priceline.com -42.0% E-tailers ILND Interland -41.6% Internet Services TFSM 24/7 Media -41.2% Advertising/Marketing ******************************************************************** WIRELESS PRODUCTS/SERVICES 10/11 7-Day 7-Day 1-Month YTD Market Company $Close $Change %Change %Change Cap HAND Handspring 68.25 8.25 13.8% 83.5% N/A 8,561.1 PALM Palm 46.94 1.50 3.3% -3.2% N/A 26,535.9 WFII Wireless Facilit 60.81 1.38 2.3% -18.8% 50.1% 2,567.9 IIIM i3 Mobile 6.00 0.00 0.0% -20.0% N/A 136.8 AETH Aether Systems 83.19 -6.81 -7.6% -38.8% 25.1% 3,250.9 MCOM Metrico