RealTime IT News

Cohen's Words Spark Tech Sell-Off

Internet stocks finished lower in a broad market retreat, due in part due to comments from Abby Joseph Cohen of Goldman Sachs, who recommended investors decrease their technology holdings.

Cohen, who chair's Goldman's investment policy committee and has traditionally been one of Wall Street's most bullish analysts, said she was cutting the percentage of equities in her model portfolio by 5 percent to 65 and increased the amount of cash from zero to 5 percent.

internet.com's Internet Stock Index finished down 23.83, or 2.21 percent, to 1,056.67, the Nasdaq Composite plunged 124.56 lower to 4834.00 and the Dow Jones industrial average lost 89.74 to 10,936.11.

Infospace (INSP) slumped 11-11/16 lower to 166-11/16. internet.com analyst, Chris Nerney featured the stock in today's Stock Tracker report.

Shares of About.com (BOUT) was up most of the day before slipping 1-7/16 to 89-7/8. The online media network of niche focused sites plans to purchase Sombasa Media, an online marketing firm for roughly $35 million in stock. Reporter@Large Luke Fronefield featured About.com in a recent research note. In addition, he will soon interview the company's CEO, Scott Kurnit.

Business-to-business e-commerce (B2B) stocks continued slumping except for Ariba Inc. (ARBA), up 6-7/16 to 252-1/4.

Buy.com (BUYX) added 5/8 to 10-1/4. The online retailer Tuesday launched a site targeting U.K customers. Bill Burnam, a partner at Softbank Capital Partners talked about Buy.com in an exclusive interview.

Checkpoint Software (CHKP) lost 6-11/16 to 198-1/4, Juniper Networks (JNPR) soared 30-9/16 higher to 307, Net2Phone (NTOP) gained 2-5/8 to 54-1/8 and Verisign Inc. (VRSN) slipped 1-3/4 lower to 187-1/2.

Autoweb.com Inc. (AWEB) gained 9/16 to 8-3/4. The online auto retailer expects first-quarter revenue to surpass original forecasts. It also projects its quarterly loss will be 25 percent below estimates. Fellow auto e-tailer Autobytel (ABTL) also added 9/16 to finish at 8-15/16.

eBay Inc. (EBAY) lost 16 to 223-13/16 despite Paine Webber hiking its price target by $60 to $285. The firm maintained its "buy" rating.

RealNetworks Inc. (RNWK) gave up 4-25/64 to 68-15/64. Dain Rauscher Wessels initiated coverage with a "buy," setting a $100 target.

Efficient Networks Inc.