Profit takers shave the ISDEX as the Internet Stock Index loses 1.95% to 543.54 as the Dow and NASDAQ also drop a few points. Taking center stage is Priceline.com’s IPO which rocketed out of the gate, prices 10 million shares at $16, opens at $85 and closes up 331% at $69. Investors bid PCLN up to more than $10 billion market value, which I deem ahead of its prospects based on the low-end nature of what it sells, spec seating on planes and spec beds at hotels. The product flow needs to aim for more dependable buying and selling in my view, better quality and assuredness. Today’s snapshot:
Prodigy (NASDAQ:PRGY) starts as a “buy” from BB Robertson Stephens, sending shares up slightly at 4.7% to $38.9375 per share. However, here’s my take: at $4,350 per subscriber Prodigy trades at twice the value per subscriber what leaders Earthlink (NASDAQ:ELNK) and Mindspring (NASDAQ:MSPG) trade at. In other words, to be on a par per subscriber valuation with ELNK and MSPG, Prodigy has to double its subscriber base without its market cap going anywhere.
Critical Path (NASDAQ:CPTH) prices its 4.5 million shares at $24 yesterday, soars to $74.875 per share today as the outsourced email solution provider starts to gain market appeal. Critical Path was one early observers had little faith in but it recently signed
XOOM.com (NASDAQ:XMCM) inks a deal with iSyndicate to bring headlines and news to XOOM.com’s community membership base. Content aggregator network iSyndicate is venture backed by Scripps and Labrador Ventures.