Adams Harkness Downgrades CMGI to 'Market Perform'

Adams Harkness downgraded CMGI Inc. (CMGI

) to market

perform from buy.

Analyst Steve Frankel says the company is a far different

animal than investors pictured 12-18 months ago. He thinks the company's largest businesses, even when or if they become profitable, are not likely to be highly valued by investors. He continues to believe building an EPS model for CMGI is a fruitless exercise at this stage. Frankel thinks if there's hope for the stock, it lies in the risky proposition of the company returning to its roots as a venture capitalist, and redeploying assets into new and hopefully more highly valued assets. He sees no near-term catalyst to send the stock materially higher.