Mergers and upgrades pushed Internet stocks higher Monday despite a big
decline in shares of Healtheon/WebMD.
internet.com’s Internet Stock Index was up 10.86, or 1.22 percent, to
902.75, the Nasdaq Composite jumped 76.40 to 4320.50 and the Dow Jones
industrial average fell 58.01 to 10905.79.
Net2Phone (NTOP)
gained 6-1/4 to 50-1/8 after announcing a marketing agreement with
WebDialogs.
Ariba (ARBA)
jumped 9-3/16 to 194-5/8. Banc of America Securities’ Montgomery Division
raised their price target on the B2B e-commerce software provider from $225
to $250.
Shares of Cisco Systems (CSCO)
added 4-1/16 to 125-3/16 after SoundView upgraded the company from a “buy”
to “strong buy” rating.
Silknet Software (SILK)
rocketed 44-3/16 higher to 183-5/16 on news it was merging with Kana
Communications (KANA)
in a $4.2 billion stock deal. Shares of KANA fell 18-3/8 to 240-1/2. The two
companies make software that helps e-businesses better communicate with
their customers and suppliers. Reporter@Large-Luke Fronefield featured Kana
in a recent note to investors.
In the day’s other big deal, shares of Akamai Technologies (AKAM)
lost 6-3/8 to 228-5/8 on news the company is buying Intervu for $2.8 billion in stock. Intervu (ITVU)
was up 12-3/8 to 129-3/8.
American depositary receipts of Britain’s Scoot.com Plc (SCOP)
jumped 13 to 86 after Merrill Lynch maintained its near-term “buy” on the
stock.
Healtheon/WebMD (HLTH)
finished down 7-9/16 to 57-9/16. The Wall Street Journal questioned
the company’s accounting practices in an article Monday.
E*Trade Group Inc. (EGRP)
matured 15/16 to 22-3/4. The online broker was added to Chase Hambrecht &
Quist’s focus list.
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