For the second consecutive week, results are mixed for Internet stocks: Five
sectors up, five down, and two treading water. Not exciting, but not scary,
and perfectly reflective of the market’s uncertain mood. Will interest rates
go up again? Have the ‘Net stocks found the bottom? Will next month’s round
of earnings reports show improved bottom lines and more profits? While I believe
investors have calmed down considerably in the wake of the spring stocks meltdown,
no one is making any huge bets yet. Volumes have been low, and there’s a ton
of money sitting on the sidelines, waiting for winners to emerge. One big trend
to watch: Support for wireless players. Examples:
Infospace leads its sector this week. MedicaLogic tops all Internet stocks this week after announcing wireless plans. Wireless content provider i3 Mobile has the top-performing Internet stock of the past month. And wireless data products and services provider Aether Systems is the leading gainer among all Internet stocks for the year to date. I guess now is a good time to announce that we will be adding a Wireless Products/Services sector to Internet StockTracker beginning next week. The sector will feature some of the companies listed above, as well as some companies not yet in StockTracker.
NOTE: Revenue Recent Quarter (RRQ) figures are in millions, unless otherwise noted.
| PERFORMANCE BY SECTOR | ||
| Security | +9.9% | |
| Speed/Bandwidth | +5.9% | |
| Internet Services | +3.4% | |
| Performance Software | +3.3% | |
| E-commerce Enablers | 0.9% | |
| Advertising/Marketing | 0.0% | |
| Search/Portals | 0.0% | |
| Content/Communities | -1.3% | |
| Consultants/Designers | -1.8% | |
| ISPs/Access Providers | -4.0% | |
| Financial Services | -4.2% | |
| E-tailers | -4.5% | |
TOP 10 GAINERS | |||
| Symbol | Company | % Gain | Sector |
| MDLI | MedicaLogic | 64.2% | Internet Services |
| HHNT | HeadHunter.NET | 44.1% | Internet Services |
| FIRE | FirePond | 42.7% | E-commerce Enablers |
| RHAT | Red Hat | 41.7% | Performance Software |
| AHWY | audiohighway.com | 40.5% | E-tailers |
| EXTN | Extensity | 35.4% | Performance Software |
| WGRD | WatchGuard | 34.3% | Security |
| IPET | Pets.com | 33.3% | E-tailers |
| APLN | plan.inc | 32.0% | Advertising/Marketing |
| ARBA | Ariba | 30.9% | E-commerce Enablers |
TOP 10 LOSERS | |||
| Symbol | Company | % Loss | Sector |
| SONE | S1 | -39.5% | Performance Software |
| PLRX | PlanetRx.com | -39.3% | E-tailers |
| COVD | Covad Comm. | -34.8% | Speed/Bandwidth |
| CDNW | CDnow | -34.3% | E-tailers |
| ILIF | ilife.com | -33.9% | Content/Communities |
| EFTD | FTD.COM | -29.5% | E-tailers |
| BTBC | b2bs tores.com | -29.1% | E-commerce Enablers |
| BFLY | Bluefly | -28.8% | E-tailers |
| ESTM | E-Stamp | -27.3% | E-tailers |
| PFSW | PFSweb | -25.9% | E-commerce Enablers |
PERFORMANCE FTWARE | ||||||||
| Close | 1 Week | % | Change | Market | ||||
| Symbol | Company | 6/14/00 | $Change
| 1 Week | 1 Month | YTD | Cap. | RRQ |
| RHAT | Red Hat | 31.88 | 9.38 | 41.7% | 90.3% | -70.0% | 4,947.0 | 16.0 |
| EXTN | Extensity | 36.31 | 9.50 | 35.4% | 101.7% |
| 857.8 | 3.7 |
| SSSW | SilverStream | 42.75 | 9.56 | 28.8% | 66.0% | -64.2% | 865.8 | 13.0 |
| MONE | MatrixOne | 38.50 | 8.25 | 27.3% | 69.2% |
| 1,611.9 | 19.8 |
| OTGS | OTG Software | 33.50 | 6.50 | 24.1% | 78.1% |
| 853.9 | 8.3 |
| PKSI | Primus Knowledge | 53.06 | 9.88 | 22.9% | 97.4% | 16.5% | 936.7 | 10.5 |
| SGNT | Sagent Technology | 7.97 | 1.25 | 18.6% | -8.3% | -73.5% | 224.9 | 14.5 |
| IWOV | Interwoven | 89.38 | 13.06 | 17.1% | 72.3% | -26.9% | 2,156.0 | 13.9 |
| COBT | Cobalt Networks | 45.75 | 6.63 | 16.9% | 60.5% | -58.0% | 1,295.8 | 12.0 |
| VIGN | Vignette | 47.31 | 6.69 | 16.5% | 60.0% | -13.3% | 9,116.5 | 55.2 |
| BWEB | BackWeb | 20.81 | 2.81 | 15.6% | 49.3% | -50.8% | 773.2 | 8.9 |
| GTHR | GetThere.com | 12.38 | 1.63 | 15.1% | -6.6% | -69.4% | 413.6 | 6.6 |
| RNWK | RealNetworks | 52.88 | 6.88 | 14.9% | 64.3% | -12.5% | 8,205.8 | 53.5 |
| TIBX | Tibco Software | 83.00 | 10.50 | 14.5% | 62.0% | 62.0% | 15,667.3 | 54.1 |
| EPRS | Eprise | 14.88 | 1.88 | 14.4% | 39.2% |
| 373.6 | 2.6 |
| SWCM | Software.com | 104.00 | 12.00 | 13.0% | 27.2% | 7.8% | 4,949.2 | 19.5 |
| EMBT | Embarcadero | 24.63 | 2.69 | 12.3% | 99.0% |
| 648.1 | 7.9 |
| TMNT | Telemate.Net | 3.34 | 0.22 | 7.0% | 7.0% | -79.5% | 25.8 | 3.1 |
| PRSF | Portal Software | 53.50 | 1.63 | 3.1% | 37.4% | | 8,645.4 | 50.6 |
| VIAD | Viador | 15.88 | 0.38 | 2.4% | 51.2% | -62.7% | 265.3 | 5.3 |
| SQSW | Sequoia Software | 10.63 | 0.25 | 2.4% |
|
| 316.1 | 4.0 |
| CLRN | Clarent | 56.38 | 0.88 | 1.6% | 62.2% | -27.8% | 1,833.7 | 24.6 |
| RWAV | Rogue Wave | 5.13 | 0.06 | 1.2% | 20.6% | -36.2% | 55.4 | 13.0 |
| VATA | Versata | 46.13 | 0.13 | 0.3% | 89.7% |
| 1,836.0 | 10.1 |
| NTOP | Net2Phone | 36.50 | -0.25 | -0.7% | 40.0% | -20.9% | 2,023.9 | 18.9 |
| NSPK | NetSpeak | 10.44 | -0.13 | -1.2% | -1.8% | -51.1% | 144.3 | 4.4 |
| CTRA | Centra Software | 10.63 | -0.25 | -2.3% | 70.0% |
| 256.4 | 3.8 |
| VOCL | VocalTec | 22.19 | -0.81 | -3.5% | 34.5% | 31.8% | 268.3 | 8.3 |
| WEBT | WebTrends | 39.63 | -1.50 | -3.6% | 55.0% | -2.6% | 1,031.8 | 10.4 |
| DTEC | Delano Technology | 12.25 | -0.50 | -3.9% | 19.5% |
| 357.4 | 4.1 |
| WBSN | Websense | 25.88 | -1.13 | -4.2% | -5.9% |
| 504.8 | 3.1 |
| OTEX | Open Text | 25.75 | -1.25 | -4.6% | 28.0% | 42.4% | 519.7 | 28.5 |
| LBRT | Liberate | 26.31 | -1.50 | -5.4% | 5.3% | -79.6% | 2,371.3 | 7.5 |
| INSO | Inso | 5.13 | -0.31 | -5.7% | 39.0% | -84.2% | 86.5 | 10.3 |
| SPYG | Spyglass | 35.00 | -2.25 | -6.0% | 12.5% | -8.1% | 609.1 | 9.1 |
| IPIX | Internet Pictures | 16.00 | -1.06 | -6.2% | 45.5% | -3.9% | 945.3 | 8.3 |
| IMAN | iManage | 11.00 | -0.73 | -6.3% | 35.4% | -65.9% | 241.6 | 7.2 |
| NESY | NEON Systems | 20.56 | -1.75 | -7.8% | -3.5% | -47.9% | 184.6 | 8.7 |
| NTGX | net.Genesis | 17.50 | -2.00 | -10.3% | -19.1% |
| 368.5 | 3.8 |
| WAVO | WAVO | 1.03 | -0.12 | -10.8% | -34.0% | -73.5% | 30.5 | 4.4 |
| BLSW | Bluestone | 22.56 | -3.19 | -12.4% | 29.9% | -80.5% | 460.4 | 7.3 |
| ALLR | Allaire | 45.38 | -6.75 | -12.9% | 16.2% | -38.3% | 1,226.8 | 26.6 |
| LOUD | Loudeye | 17.25 | -2.75 | -13.8% | 11.3% |
| 634.7 | 1.6 |
| PASW | Pacific Softworks | 2.69 | -0.44 | -14.0% | -23.2% | -53.0% | 12.1 | 0.7 |
| FVCX | FVC.com | 8.00 | -1.50 | -15.8% | 39.1% | -31.9% | 137.6 | 10.1 |
| DGV | Digital Lava | 5.25 | -1.25 | -19.2% | -19.2% | -25.4% | 24.6 | 1.0 |
| SONE | S1 | 20.75 | -13.56 | -39.5% | -37.6% | -73.6% | 1,124.4 | 50.4 |
The performances of the top and bottom stocks in this sector each are notable in their own way. For Linux operating system software and services player Red Hat, an appearance at the head of the group and a place on the list of 10 biggest gainers across the board is a rarity these days, given that The market ended its brief, torrid affair with Linux stocks months ago. What’s even more odd is that RHAT has gone up in price every day since its June 15 first-quarter earnings report, which showed losses of $14.9 million, or 10 cents per share, versus a net loss of $4.1 million, or 8 cents per share, in the year-ago quarter. Investors seem to care more that RHAT beat street estimates and doubled revenue to $16 million. Despite the run-up of the past
week and month, RHAT still is down 70% for the year. At the southern end of the list, financial services software provider S1 Corp. leads all losers this week. Concerns about S1’s loss of a large contract with Citigroup and Smaller revenues due to competitive pricing pressures are behind the plunge.
INTERNET SERVICES
| Close | 1 Week | % Price | Market | |||||
| Symbol | Company | 6/14/00 | $Change | 1 Week | 1 Month | YTD | Cap. | RRQ |
| MDLI | MedicaLogic | 9.75 | 3.81 | 64.2% | 21.9% | -53.8% | 389.3 | 5.6 |
| HHNT | HeadHunter.NET | 11.44 | 3.50 | 44.1% | 2.8% | -9.4% | 124.8 | 6.4 |
| ACRU | Accrue Software | 36.38 | 8.36 | 29.8% | 63.5% | -33.1% | 902.2 | 7.5 |
| KEYN | Keynote Systems | 65.38 | 12.31 | 23.2% | 80.0% | -11.8% | 1,748.2 | 7.2 |
| EXDS | Exodus | 54.19 | 10.00 | 22.6% | 73.1% |
21.4% | 22,344.7 | 134.1 |
| CPTH | Critical Path | 54.69 | 7.94 | 17.0% | 85.4% | -42.3% | 3,401.5 | 24.6 |
| CAVN | Cavion Technologies | 11.38 | 1.38 | 13.8% | 18.2% | 46.1% | 56.5 | 0.3 |
| DIGX | Digex | 74.88 | 8.88 | 13.4% | 59.9% | 8.4% | 4,754.6 | 28.0 |
| CTCH | CommTouch | 38.75 | 4.13 | 11.9% | 157.3% | -20.6% | 589.0 | 4.3 |
| LPSN | LivePerson | 8.88 | 0.94 | 11.8% | 18.3% |
| 260.6 | 0.8 |
| KANA | Kana Comm. | 56.63 | 5.94 | 11.7% | 46.1% | -45.0% | 5,102.4 | 10.7 |
| MQST | Mapquest.com | 18.06 | 1.75 | 10.7% | 16.5% | -20.3% | 658.8 | 10.4 |
| BWAY | Breakaway Solutions | 38.75 | 3.38 | 9.5% | 86.7% | 5.7% | 1,367.1 | 18.1 |
| ECRU | E-Cruiter.com | 4.50 | 0.38 | 9.1% | 28.6% | -37.1% | 33.2 | N/A |
| NAVI | NaviSite | 49.00 | 4.06 | 9.0% | 20.4% | -2.5% | 2,769.7 | 14.2 |
| FUSN | Fusion Networks | 2.31 | 0.19 | 8.8% | 60.8% |
| 63.5 | N/A |
| DRTN | Data Return | 20.75 | 1.25 | 6.4% | 7.8% | -61.4% | 734.5 | 5.5 |
| ITXC | ITXC | 35.88 | 1.38 | 4.0% | 21.1% | 6.2% | 1,380.4 | 15.1 |
| NVDC | Navidec | 9.19 | 0.13 | 1.4% | 24.6% | -23.8% | 101.6 | 6.6 |
| JPTR | Jupiter Comm. | 24.06 | 0.31 | 1.3% | 17.4% | -20.8% | 371.9 | 17.2 |
| CRFH | Crayfish | 13.00 | 0.00 | 0.0% | 40.5% |
| 661.4 | NA |
| ETIN | Etinuum | 5.75 | | 0.0% | 17.9% |
| 103.4 | 8.5 |
| HOTJ | HotJobs.com | 12.75 | -0.13 | -1.0% | 45.7% | -71.0% | 406.2 | 13.9 |
| CLAI | Claimsnet.com | 3.13 | -0.13 | -3.8% | -5.7% | -68.9% | 24.5 | 0.3 |
| CONV | Convergent | 7.88 | -0.38 | -4.5% | 10.0% | -50.6% | 229.6 | 52.8 |
| MAIL | Mail.com | 5.69 | -0.31 | -5.2% | 4.6% | -69.8% | 323.1 | 10.0 |
| LIOX | Lionbridge | 9.00 | -0.69 | -7.1% | 2.9% | -50.9% | 227.2 | 17.0 |
| INIT | Interliant | 22.25 | -2.88 | -11.4% | 35.9% | -14.8% | 1,057.3 | 26.9 |
| HLTH | Healtheon/WebMD | 15.50 | -2.19 | -12.4% | 5.1% | -58.9% | 2,822.6 | 65.9 |
| MRBA | Marimba | 16.50 | -2.38 | -12.6% | 20.0% | -64.4% | 384.6 | 10.6 |
| JFAX | JFAX.COM | 1.38 | -0.22 | -13.7% | -12.0% | -79.6% | 49.6 | 2.9 |
| NTWO | N2H2 | 4.81 | -0.88 | -15.4% | 20.3% | -79.6% | 108.1 | 2.9 |
| CHRD | Chordiant Software | 12.00 | -2.69 | -18.3% | 83.7% |
| 440.1 | 5.0 |
| LFMN | Lifeminders | 32.00 | -7.88 | -19.7% | 0.8% | -44.9% | 756.8 | 11.0 |
| EGRT | Egreetings Network | 1.38 | -0.38 | -21.4% | -48.2% | -86.5% | 48.1 | 2.8 |
MedicaLogic leads all Internet stocks this week with a 64% gain, thanks to the announcement Monday that it will offer wireless, handheld devices to physicians. The news helps MDLI bounce back from a 24% loss last week following layoffs and a $20 million budget cut. However, the real story here is that this sector is home to the three top-performing
Internet stocks of the past month. I speak of wireless content provider i3 Mobile (up 188%), Internet telephony services provider iBasis (171%) and e-mail services outsourcer CommTouch Software (157%). All three followed up strong gains last week with more modest advances this week. After unveiling a global alliance last week with software technology consultancy TCS, Chordiant software zoomed to the No. 2 slot among monthly gainers. But it fails to sustain momentum, and thus gives back nearly half of last week’s gains.
ADVERTISING/MARKETING | ||||||||
| Close | 1 Week | % Price Change | Market | |||||
| Symbol | Company | 6/14/00 | $ Change | 1 Week | 1 Month | YTD | Cap (mm) | RQR |
| APLN | @plan.inc | 8.25 | 2.00 | 32.0% | 39.7% | -74.1% | 92.7 | 2.8 |
| MPLX | Mediaplex | 21.19 | 4.69 | 28.4% | 9.7% | -16.9% | 698.9 | 16.2 |
| NCNT | Netcentives | 15.31 | 2.06 | 15.6% | 40.8% |
| 635.8 | 4.6 |
| CGLD | CyberGold | 8.13 | 0.88 | 12.1% | 49.4% | -72.0% | 176.5 | 4.3 |
| MYPT | MyPoints.com | 17.31 | 1.50 | 9.5% | 53.0% | -31.0% | 504.3 | 15.8 |
| DCLK | DoubleClick | 44.00 | 1.56 | 3.7% |
-12.3% | -54.3% | 5,389.8 | 110.1 |
| NTCR | NetCreations | 45.00 | 1.38 | 3.2% | 63.6% | -74.8% | 697.3 | 14.4 |
| ENGA | Engage | 16.00 | 0.13 | 0.8% | 5.8% | -65.4% | 2,772.4 | 58.7 |
| LNTY | L90 | 9.88 | 0.00 | 0.0% | 64.6% | -46.9% | 217.1 | 8.6 |
| CSAV | coolsavings.com | 6.00 | 0.00 | 0.0% | 44.9% | -64.7% | 232.1 | 8.1 |
| PRME | Prime Response | 5.69 | -0.19 | -3.2% | 26.4% | -88.1% | 117.4 | 7.5 |
| VCLK | ValueClick | 10.56 | -0.50 | -4.5% | -15.5% | -56.7% | 295.4 | 11.0 |
| TFSM | 24/7 Media | 14.63 | -0.88 | -5.6% | -6.4% |
| 386.2 | 46.2 |
| HPOL | Harris Interactive | 5.69 | -0.38 | -6.2% | 48.0% | -12.3% | 183.7 |
14.2 |
| CBLT | Cobalt Group | 6.50 | -0.50 | -7.1% | 7.1% | -66.4% | 112.1 | 9.3 |
| MMXI | Media Metrix | 31.50 | -2.50 | -7.4% | 20.6% | -76.7% | 625.0 | 10.2 |
| BFRE | Be Free | 10.13 | -0.88 | -8.0% | 9.5% | 1.8% | 655.5 | 3.6 |
| XACT | Exactis.com | 8.63 | -1.00 | -10.4% | -7.4% | -49.3% | 110.0 | 4.3 |
| DIGI | Digital Impact | 12.69 | -1.56 | -11.0% | 58.6% | -75.5% | 312.9 | 5.7 |
| FSHP | FreeShop.com | 5.75 | -0.75 | -11.5% | -26.1% |
| 90.1 | 5.1 |
| NTRT | NetRatings | 24.50 | -4.13 | -14.4% | 45.2% |
| 789.5 | 3.1 |
| AVEA | Avenue A | 10.94 | -2.13 | -16.3% | -21.9% |
| 635.6 | 46.8 |
@plan.inc hires investment bank Veronis Suhler to find a buyer. The news sends
shares high enough for APLN to top the sector and sneak onto the list of top
10 gainers among all Internet stocks for the week. Look for companies such as
FreeShop.com and C
ybergold to soon follow suit – looking for buyers, that is,
not leading the sector. Mediaplex, which sells software allowing banner ads
to change in real-time according to product and customer variables, gets a boost
from a plug in Red Herring magazine, but mostly the stock is bottom-bouncing.
Avenue A hits a rough stretch of road after Wall Street analysts downgrade revenue
projections and the company’s stock. Cash infusion of $75 million from CMGI
and Compaq lift Engage into the black – barely.
