We think we're near the bottom of the Internet stock selloff that hammered
the ISDEX down more than 20% the past week. This is the 20% correction we
predicted in fourth quarter 1998 would come in Spring 1999. Our view is it's a
good thing, take some of the top off and remove some of the spec cowboys from
Signs the Internet sector is coming back appear in the blips in a few of the
stocks in ISDEX, with the IPO market also showing some strength as two deals
begin trading today after selling at the top or more of the filing range.
Prodigy (NASDAQ:PRGY) goes public, selling 8 million shares at $15, the high
end of its range. The IPO raises $120 million for the ISP, which once was the
leader in online services.
E*TRADE (NASDAQ:EGRP) ounces back a little on news one of its investments,
e-offerings, which EGRP owns 28% of, has 30 IPOs lined up. e-offerings was
founded by Walter Cruttenden, who headed up investment bank Cruttenden Roth.
Healtheon (NASDAQ:HLTH) sells 5 million shares at $8 each, that's $1 more
than its filing range, in an IPO through Morgan Stanley Dean Witter.
CNET (NASDAQ:CNET) reports $19.2 million fourth-quarter revenue, up 86% vs.
4Q97. Net income is $4.3 million or $0.23 EPS. Excluding unusual items EPS is
$0.18 per share. Full-year revenue is up 68% to $56.4 million while net income
for the year reaches $2.6 million. CNET plans a 2-for-1 stock split March 8, for
shareholders of record as of Feb. 22.
Harmon's HotWatch '99 - the hottest analysis about Internet stocks
delivered to your email box each month! Last year's 10 to watch from Steve
Harmon was up 300%. Will 1999 be a repeat? More info