Internet stocks were joining all the major indices in a downward spiral in midday trading Tuesday as lower bond prices were taking a toll on equities.
Just before noon, internet.com’s Internet Stock Index had dropped 17.91, or 4.42 percent, to 387.37, the Nasdaq Composite was off 54.13 to 2,464.85 and the Dow Jones industrial average was off 98.46 to 10,609.24.
Despite all its recent troubles, online auctioneer eBay Inc. (EBAY) was one of the very few Internet issues in the positive column. Shares were up 1-3/16 to 80-1/3 as investors were applauding the company’s moves to strengthen its technology staff. Also, Morgan Stanley Dean Witter’s Mary Meeker reiterated her “outperform” rating. In a research report, Meeker characterized eBay’s growth opportunities as “impressive” and said she looks for notable fourth-quarter numbers.
The rest of the familiar names were in the red, with America Online Inc. (AOL) down 4 to 81-9/16, Amazon.com Inc. (AMZN) off 2-7/8 to 82-5/8, CMGI Inc. (CMGI) falling 4-1/4 to 69, Real Networks Inc. (RNWK) tumbling 3-3/8 to 64-1/4 and Yahoo! Inc. (YHOO) slumping 3-11/16 to 117-1/2.
On Tuesday, BancBoston Robertson Stephens reiterated its “buy” rating on Stamps.com.
Online magazine Salon.com (SALN) had plunged 1-1/2 to 7-1/4. The company, which reported first quarter results late Monday, said revenues more than doubled. However, losses countinue to mount as it spends aggressive to build its business. The company lost $16.1 million, or $10.10 a share, compared to a loss of $1.4 million or $3.75 a share a year ago.
ALL NEW! internet.com’s HotWatch a monthly e-mail subscription for $99,
featuring Internet Stock Report’s top 10 noteworthy Internet stocks for the
month. Each month you will receive in-depth analysis on the top 10 Internet
stocks to watch with the information you need to assess the fast-paced nature
of Internet stocks. Staying on top of market changes in the Internet Stock
market is what counts. For $99 per year, you receive 12 timely issues sent to
you by e-mail. Don’t wait, our next issue will be out before you know it with a
perspective on the market. Sign up today at: e-newsletters