| BUSINESSWEEK ONLINE : JULY 19, 1999 ISSUE | ||||||||
| ||||||||
 | ||||||||
| BUSINESSWEEK INVESTOR -- INSIDE WALL STREET
Round-the-Clock Interest in 24/7? Online advertising is hot, and so are the stocks of companies that bring them to the Internet. One that delivers ads to more than 2,500 Web sites is 24/7 Media (TFSM), whose stock has been as volatile as any mercurial Internet outfit. Of late, 24/7, which dropped from nearly 70 a share in mid-April to 24 in mid-June, is again on the upswing: It went above 40 in early July. Some pros think the stock is headed past 70: They believe 24/7 is bound to be acquired by DoubleClick, the leader in advertising Internet solutions. DoubleClick recently agreed to acquire Abacus Direct--to broaden its product line and gain data on consumer purchasing. And recently, DoubleClick has been rumored to be after Internet ad-software vendor NetGravity. ''But for DoubleClick to have the expertise in providing ad solutions to all forms of media--cable, TV, and radio--it would need the deep experience and resources of 24/7,'' says one Internet investor. Among 24/7's key clients: Amazon.com, Netscape, Disney, and Dell Computer. Analyst Rudy Hokanson of CIBC Oppenheimer says 24/7's competitive advantage stems from its having management with wide media expertise, its ability to reach large number of Internet users, and its proprietary database that could ''revolutionize Internet marketing and advertising.'' He figures that 24/7's estimated 1999 revenue of $64.5 million will jump to $127 million in 2000, compared with $19.9 million in 1998. His target for the stock: 80. David Moore, CEO of 24/7, says he wouldn't be surprised if DoubleClick were interested, but insists 24/7 intends to be a preeminent online ad-solutions company. BY GENE G. MARCIAL _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ BACK TO TOP |
|  |
 | |
RELATED ITEMS Round-the-Clock Interest in 24/7? CHART: On the Upswing Again INTERACT E-Mail to Business Week Online | |||
