Internet Shares Turn South in Afternoon
Page 1 of 1
After teetering in and out of positive territory for much of the day, Internet stocks ended lower along with all the major indices despite a positive consumer price index report.
internet.com's Internet Stock Index ended off 7.79, or 1.54 percent, to 499.27, the Nasdaq Composite was off 52.57 to 2,815.72 and the Dow Jones industrial average fell 100.36 to 10,809.97.
Lotus Development, which is a division of IBM Corp., (IBM), said it will use Microsoft's (MSFT) Windows Media video technology within Notes and Domino. The technology is directly competitive to that of RealNetworks' (RNWK) video technology. Despite this, Real's stock closed up 1-1/8 to 92-9/16.
As for the Internet leaders, America Online Inc. (AOL) lost 1-78/8 to 89-1/8, eBay Inc. (EBAY) was down 3 to 152, Ariba (ARBA) dropped 7-3/8 to 126-1/8 and Inktomi Corp. (INKT) rose 3-17/32 to 129-13/32.
China.com (CHIN A) continued its descent, as its shares fell another 10-5/8 to 52-5/8. Yesterday, the Chinese government announced plans to ban any foreign investment in Chinese-based Internet companies. China.com released a statement on the situation, saying, "We have a long history of cooperation with the Ministry of Information Industry of China and we are well positioned to take advantage of China's growing economy and the ongoing development of e-commerce in China to promote exports."
Xoom.com (XMCM) gained 3/8 to 35-15/16 and ValueVision International Inc. (VVTV) was off 2-7/8 to 25. The two companies will create a new home-shopping service which will have a presence on the Internet and television.
Verity Inc. (VRTY) was up 11/16 to 57-15/16. The Internet software company reported first-quarter earnings of 32 cents a share, trouncing analysts' estimates of a 16-cent profit. Revenue also rose 50 percent.
Netzee Inc. filed to go public today. The company is a developer of online banking products. The lead underwriter is Robinson-Humphrey and the proposed ticker symbol is NETZ.
Introducing Internet StockTracker, the new weekly e-mail newsletter from internet.com Corp. Every Friday internet.com will deliver to your e-mail in-box the latest performance data on individual Internet companies and their competitors. Internet StockTracker will deliver to you all the statistics you need to assess the week's activity. Subscribe today and receive the Charter Rate of $157 -- a savings of $70 off the regular subscription price! e-newsletters