RealTime IT News

Internet Market Close Report for 1999.01.19

@Home's (NASDAQ:ATHM) $6.7 billion bid for Excite (NASDAQ:XCIT) ignites the Internet stock market with ISDEX up 9% today.

It proves part of our investment thesis that consolidation would be rapid after the AOL-Netscape deal was announced. The ante has been upped, size does matter. ATHM shares end the day up 13% at $115.375 while XCIT pops 63% to $110.

Today's market snapshot:

  19-Jan-99 point change % change
ISDEX 357.00 28.35 8.63%
NASDAQ 2,408.17 59.97 2.55%
DJIA 9,355.22 14.67 0.16%

  • Time Warner's Road Runner reports 180,000 subscribers at year-end 1998, and adds about 4,000 new customers a week. We think Road Runner is a good candidate to be spun off Time Warner (NYSE:TWX) a la @Home, its larger rival.

  • N2K (NASDAQ:NTKI) reports preliminary $17 million fourth-quarter sales, up 325% from 4Q97. The music etailer is in a pending merger with CDNow (NASDAQ:CDNW). The two of them have several key deals with large Web sites. We're waiting for full results to know if those deals paid off over the holidays or not. We suspect they did since holiday e-buying was better than expected.

  • CNET (NASDAQ:CNET) shares gain 37% to $99.75 on news of its SNAP! Web front end and its co-owner NBC plan to roll out a high-speed front end of SNAP! aimed at broadband.