RealTime IT News

Eye Spy: Web Devices Set To Zoom?

Internet stocks rallied, paused for profit taking and showed a few surprises as Spyglass, USWeb, OpenText and Earthlink topped the list of movers and zoomers, proving that 1998 could be the year of the comeback for many, and the moment of truth for others.

Ironically, Sportsline (NASDAQ:SPLN) came in last in the number crunching here, just as its CBS Winter Olympics moment shines nightly for 1 billion viewers worldwide. Logical explanation: the exposure was already discounted into SPLN shares starting perhaps even way back in November when we were the first to say that SPLN was one to watch.

Even after a haircut given by overzealous twitch-happy traders, SPLN may continue to be one to keep an eye on this year and next. Stay tuned.

Stand by for our latest tally:

Ups, Downs & In Betweens

ISDEX ® Ticker 17-Feb-98 % change Point change % change
Internet Stock Index symbol close from from from
      10-Feb-98 10-Feb-98 31-Dec-97
           
ISDEX Geometric Average   124.22 4.6% 5.44 24.4%
ISDEX Price Wtd. Composite   952.08 2.5% 22.86 17.8%
NASDAQ   1,703.43 -0.3% -5.61 8.5%
DJIA   8,398.50 1.2% 102.89 6.2%
           
Spyglass SPYG $ 6.80 23% $1.27 38%
USWeb USWB $ 16.69 16% $2.31 78%
Open Text OTEXF $ 13.88 16% $1.88 4%
Earthlink Network ELNK $ 44.38 15% $5.75 72%
Infoseek SEEK $ 13.53 12% $1.41 26%
Open Market OMKT $ 15.00 8% $1.13 56%
Forefront FFGI $ 10.56 8% $0.75 35%
CheckPoint Software CHKPF $ 41.13 7% $2.81 1%
Security First Net Bank SFNB $ 10.94 7% $0.69 51%
@Home Network ATHM $ 27.75 6% $1.63 10%
N2K NTKI $ 26.13 6% $1.50 79%
Trusted Information Systems TISX $ 11.06 5% $0.56 11%
CMG Info CMGI $ 41.38 5% $1.88 37%
CNET CNWK $ 30.75 4% $1.13 4%
Network Solutions NSOL $ 20.50 4% $0.75 56%
Concentric CNCX $ 14.50 4% $0.50 63%
America Online AOL $ 112.00 3% $3.00 24%
PSINet PSIX $ 8.50 2% $0.19 66%
Onsale ONSL $ 26.06 2% $0.44 45%
Mecklermedia MECK $ 27.38 1% $0.38 10%
RealNetworks RNWK $ 16.06 1% $0.19 16%
CKS Group CKSG $ 18.56 1% $0.19 31%
Lycos LCOS $ 41.63 1% $0.25 1%
Netscape NSCP $ 21.06 0% $0.06 -14%
VocalTec VOCLF $ 18.81 0% -$0.06 -8%
Excite XCIT $ 43.75 -1% -$0.25 46%
Yahoo! YHOO $ 64.25 -1% -$0.38 -7%
Mindspring MSPG $ 47.88 -1% -$0.38 42%
Versant Object Technologies VSNT $ 8.25 -1% -$0.13 -40%
Security Dynamics SDTI $ 33.75 -3% -$0.88 -6%
E*TRADE EGRP $ 26.00 -3% -$0.75 13%
Amazon.Com AMZN $ 61.75 -3% -$1.88 2%
CyberCash CYCH $ 12.63 -4% -$0.50 0%
Sportsline USA SPLN $ 18.81 -12% -$2.56 75%
TOTAL   933.27 2.8% 25.42 17.8%
SIMPLE AVERAGE   28.28 2.8% 0.77 17.8%

  • Feb 11: Earthlink Network (NASDAQ:ELNK) inks a multi-year bonanza deal with Sprint (NASDAQ:FON) buying 30% of the customer-focused Internet service provider for $45 per share. The agreement has many parts including distribution and promotion for Earthlink throughout Sprint's telephone user base. Earthlink also gets Sprint's 130,000 Internet subscribers.

    In related news from February 13, Earthlink (NASDAQ:ELNK) closes its loss gap and reports record 1997 revenue, up 144% to $79.2 million while its fourth quarter revenue is up 95% to $24 million. EarthLink posts a $29.9 million annual loss for last year and 4Q97 loss of $6.6 million. Net losses per share for 4Q97 and year ending 1997 were $0.59 and $2.99, respectively, vs. 1996 losses per share of $4.50 and $1.17 4Q97.

  • Feb 12: ONSALE (NASDAQ:ONSL) reports record revenue for 1997 with gross merchandise sales of $115.9 million, up 277% vs. 1996. Revenues reach $89.0 million vs. $14.3 million in 1996. Net loss for 1997 is $2.5 million, or $0.16 per share, vs. net income of $361,000, or $0.03 per share, in 1996.

    Fourth-quarter gross merchandise sales reach a record $41.1 million, up 27% vs. third quarter while 4Q97 revenue is $33.0 million, up 31% vs. 3Q97. Net loss for 4Q97 is $1.7 million, or $0.09 per share.

  • Feb 13: @Home (NASDAQ:ATHM) business access division, @Work, and Cox Communications (NYSE:COX) bundle up for Cox@Work Internet to provide small and medium-sized businesses with high-speed access to the Internet via @Home Network, a hybrid fiber-coax cable based high-speed network. The service is available through Cox in Orange County, San Diego, and Phoenix. Maybe @Home should aim for more @Work after all? That's where the speed is valued more, at least for now.

  • Feb 17: Spyglass' (NASDAQ:SPYG) strategy of going after the embedded device market may begin to pay off as Nokia inks a deal to use Spyglass' browser on digital TV boxes in Europe, bypassing Microsoft and Netscape as choices. The deal sends SPYG shares up 20% to $6.80 per share, still a long way off its 52-week high of more than $12 and further still from the glory days of 1995 when SPYG traded north of $60.

    In our opinion, if devices continue to roll out, few have the experience that Spyglass does in making browsers for them. Microsoft and Netscape aimed at the broad market, not the thin one. Now they pay the price.