SAN FRANCISCO -- There was a little bit of something for everyone in the Internet sector today. There was news of another merger, kind words from analysts on a number of stocks, a solid earnings report and gains from a couple of industry bellwethers.
It added up to a mostly positive day for Net stocks.
TheStreet.com Internet Sector
index closed up 4.10, or 0.6%, at 657.20.
The merger news involved online retailer and auctioneer
and online computer and software retailer
. The deal was valued at approximately $400 million, but did not place much of a premium on Egghead.com. Onsale finished down 1 1/2, or 6.7%, at 21, while Egghead.com closed down 5/16, or 2.6%, at 11 3/4.
Gains in both
provided some underlying support in the sector.
Amazon.com soared after the company said it had bought a 49% stake in
, an online seller of sporting goods at closeout prices. The move comes a day after the online retailer launched Amazon.com Electronics and Amazon.com Toys & Games. It finished up 8 7/8, or 7%, at 135.
Yahoo! closed up after it reported that profits for Yahoo! Japan increased nearly seven-fold from the year-ago period and that Yahoo! Japan stock would split 2-for-1. It closed up 2 1/2, or 1.6%, at 159 7/16.
Banc of America Securities'
Alan Braverman for at least a portion of their gains today. Braverman initiated coverage of both Exodus and Inktomi with buy ratings and 170 price targets for both. Exodus finished up 10 15/16, or 8%, at 146 7/16.
Inktomi, which reported earnings after the close, ended up 3 5/16, or 2.6%, at 128 7/8. It reported a fiscal third-quarter loss of 10 cents a share, 2 cents better than the 12-cent loss estimate from
. Revenue was $19.6 million for the quarter, up 212% over the same period in 1998 and up 34% from its fiscal second quarter. The company showed continued strength in its network products division, whose main product is a traffic server. Traffic server revenues were $11.8 million, or 60% of the company's revenue, up from 56% last quarter.
But just so he doesn't get a big head,
notes that Braverman also initiated coverage of
Ticketmaster Online CitySearch
with a buy rating and a 55 price target, and it closed down 1, or 2.8%, at 34 1/4.
, a directory that sells Internet listings, closed more than 25% higher after brokerage houses that brought GoTo.com public initiated coverage with positive ratings.
Donaldson Lufkin & Jenrette
Salomon Smith Barney
Thomas Weisel Partners
all initiated coverage of GoTo.com with buy ratings. It finished up 14 5/8, or 27%, at 68 5/8.
And the latest IPO to shine was
(TIBX:Nasdaq). Tibco's products allow computer applications to communicate over the Internet. It closed up 17 3/8, or 116%, at 32 3/8.