This Day On The Street
Continue to site right-arrow
This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here
Stocks Under $10 with 50-100% upside potential - 14 days FREE!

Omniture Offering Is Worth Data-Mining

Omniture (OMTR), a small-cap company that makes software for gathering data about traffic to Web sites, will make its market debut this morning after pricing its initial public offering Tuesday night at $6.50 per share, raising net proceeds of $50.1 million. The underwriters -- Morgan Stanley, Deutsche Bank, J.P. Morgan and CS First Boston -- expected the 10.7 million-share offering to price between $7.50 and $9 a share.

Although the stock warranted speculation in that range, this discount makes for a somewhat attractive entry point for risk-takers.

Omniture is a pure play on the growing need and demand for Web traffic intelligence and analysis. As a result of increased affordable Web access, companies are more dependent on the Web for retail sales and marketing campaigns, and knowing where and how to stimulate consumer interest will be as a key competitive differentiator.

Omniture's main revenue-generating service is SiteCatalyst, which helps businesses manage and enhance online, offline and multichannel marketing and sales initiatives. Much like better known services Coremetrics and aQuantive (AQNT), Omniture customers use SiteCatalyst to gather and analyze Web traffic patterns and form sales and marketing initiatives to optimize their sites and match consumer trends.

The key growth driver for Omniture and its competitors, including Coremetrics, aQuantive and Websidestory (WSSI), is the overall growth in Internet usage and increased corporate spending. Omniture, for one, captured data on more than 280 billion pageviews in the first quarter of 2006 from its 1,000-plus customers. Cheaper access to high-speed Internet services should continue to drive growth, leading to meaningful jumps in the amount of time consumers spend online. In turn, this increases the importance of data-gathering and analysis for companies that generate revenue from Web-based operations.

1 of 3

Select the service that is right for you!

Action Alerts PLUS
Try it NOW

Jim Cramer and Stephanie Link actively manage a real portfolio and reveal their money management tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
  • Weekly roundups
TheStreet Quant Ratings
Try it NOW
Only $49.95/yr

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
  • Upgrade/downgrade alerts
Stocks Under $10
Try it NOW

David Peltier, uncovers low dollar stocks with extraordinary upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
  • Weekly roundups
Dividend Stock Advisor
Try it NOW

Jim Cramer's protege, David Peltier, identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • Diversified model portfolio of dividend stocks
  • Alerts when market news affect the portfolio
  • Bi-weekly updates with exact steps to take - BUY, HOLD, SELL
Real Money Pro
Try it NOW

All of Real Money, plus 15 more of Wall Street's sharpest minds delivering actionable trading ideas, a comprehensive look at the market, and fundamental and technical analysis.

Product Features:
  • Real Money + Doug Kass Plus 15 more Wall Street Pros
  • Intraday commentary & news
  • Ultra-actionable trading ideas
Options Profits
Try it NOW

Our options trading pros provide daily market commentary and over 100 monthly option trading ideas and strategies to help you become a well-seasoned trader.

Product Features:
  • 100+ monthly options trading ideas
  • Actionable options commentary & news
  • Real-time trading community
  • Options TV
To begin commenting right away, you can log in below using your Disqus, Facebook, Twitter, OpenID or Yahoo login credentials. Alternatively, you can post a comment as a "guest" just by entering an email address. Your use of the commenting tool is subject to multiple terms of service/use and privacy policies - see here for more details.
Submit an article to us!


DOW 18,030.21 +6.04 0.03%
S&P 500 2,081.88 -0.29 -0.01%
NASDAQ 4,773.4720 +8.0480 0.17%

Brokerage Partners

Rates from

  • Mortgage
  • Credit Cards
  • Auto

Free Newsletters from TheStreet

My Subscriptions:

After the Bell

Before the Bell

Booyah! Newsletter

Midday Bell

TheStreet Top 10 Stories

Winners & Losers

Register for Newsletters
Top Rated Stocks Top Rated Funds Top Rated ETFs