ISDEX starts to find some born-again believers in the Internet stock
sector with select brand or market leaders rising today. A few Internet
IPOs also get attention, but we suspect it’s more "first day
frenzy" than long-term (see today’s ISR for IPO market analysis).
The broad market itself played revival tunes of its own with the Dow and
NASDAQ squeezing out small gains. Today’s snapshot:
Vignette (NASDAQ:VIGN) goes public today and soars 125% to $42.69 per share, as scores of speculators and traders poured into shares of the software maker. Vignette develops software for customizing Web sites. VIGN posted $16 million revenue in 1998, driven by its high-priced and popular software packages for corporate Web sites. CNET shares also get a pop since the firm owns 9% of VIGN.
Open Text (NASDAQ:OTEX) changes its ticker symbol from OTEXF.
Intranet software maker Webtrends (NASDAQ:WEBT) gains 108% on its IPO today to close at $27.06. The maker of Web site traffic analysis software had $8 million sales in 1998 with a $219,000 profit. Although profitable, we think Webtrends must grow its marketshare and revenue streams in order to sustain the exuberance.
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 click here