Thursday, August 18, 2005

Autobytel discusses quality of traffic (ABTL 2Q05 conf call quotes)

Certain trends become clear each quarter when you listen to companies' conference calls. This quarter the clearest trend in the Internet sector has been the focus on quality of traffic. The Spitzer case against Intermix spotlighted the amount of traffic generated through spyware and adware; but it's clear that low-quality (and sometimes illegal) traffic is also delivered and monetized via second-tier search engines and marketing affilates. As a result, a number of companies have mentioned that they are eliminating low-quality traffic sources and trying to increase traffic from the top tier search engines. This is a crucial issue for the entire Internet sector, particularly for search and affiliate marketing firms, and is probably under-appreciated by investors. Excerpts from Autobytel (ticker: ABTL) CEO Rick Post from his Q2 call:

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Posted by David Jackson on August 18, 2005 at 04:43 AM in Conf call quotes, Sub-sector: Advertising, Sub-sector: E-tailing, Sub-sector: Search | Permalink | Comments (1) | TrackBack (0)

Monday, August 15, 2005

24/7 Real Media discusses behavioural advertising (TFSM 2Q05 conf call quotes)

24/7 Real Media (ticker: TFSM) CEO David Moore was upbeat on his August 4th Q2 conference call. (Aren't they all?) Here are his comments on TFSM's organic revenue growth and behavioural advertising:

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Posted by David Jackson on August 15, 2005 at 08:24 AM in Conf call quotes, Sub-sector: Advertising, ticker: TFSM | Permalink | Comments (0) | TrackBack (0)

Thursday, August 11, 2005

Sell-side reactions to ValueClick and FastClick's earnings (FSTC and VCLK 2Q05 earnings)

ValueClick (ticker: VCLK) announced this morning that it is acquiring FastClick (ticker: FSTC). The price? 0.79 VCLK shares for every FSTC share, valuing FastClick at about $10 per share, or about 12% higher than it was trading previously. Here are reactions from two sell-side analysts to the companies' recently announced Q2 results, including their comments on valuation as background for understanding how much ValueClick is paying and how its currency is valued:

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Posted by David Jackson on August 11, 2005 at 11:06 AM in Earnings results, Sub-sector: Advertising, ticker: FSTC, ticker: VCLK | Permalink | Comments (0) | TrackBack (0)

aQuantive discusses ads for interactive TV (AQNT 2Q05 conf call quotes)

aQuantive (ticker: AQNT) has developed technology for ads for OnDemand video services. Although it currently generates no revenue, this type of product should become increasingly interesting as the Internet and TV converge. Excerpts from CEO Brian McAndrews:

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Posted by David Jackson on August 11, 2005 at 10:29 AM in Conf call quotes, Sub-sector: Advertising, ticker: AQNT | Permalink | Comments (0) | TrackBack (0)

Overstock justifies its higher than expected marketing costs (OSTK 2Q05 conf call quotes)

Overstock's (ticker: OSTK) Q2 marketing and customer acquisition costs were worse than expected. CEO Patrick Byrne stated on Overstock's conference call that marketing costs will fall when the company rolls out improved personalization and customer relationship management. But I've mentioned before that online retailers that differentiate themselves solely on price may find that customer loyalty is low as customers shop around for the best deals, for example with comparison shopping engines. As a result their marketing costs never fall enough. Excerpts from Mr Byrne's answer to an analyst on this issue:

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Posted by David Jackson on August 11, 2005 at 10:11 AM in Conf call quotes, Sub-sector: Advertising, Sub-sector: E-tailing, ticker: OSTK | Permalink | Comments (3) | TrackBack (0)

Wednesday, August 10, 2005

Hollywood Media on rising web ad prices (HOLL 2Q05 conf call quotes)

Hollywood Media (ticker: HOLL) derives most of its reported revenue from Broadway.com, a transactional web site that sells Broadway show tickets and competes with TicketMaster. A far smaller proportion of the company's revenue comes from Hollywood.com, a movie information content site that competes with Amazon's IMDB.com. Here's an excerpt from HOLL CEO Mitch Rubenstein's comments on his Q2 conference call about ad sales on Hollywood.com:

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Posted by David Jackson on August 10, 2005 at 12:01 AM in Conf call quotes, Sub-sector: Advertising, Sub-sector: Content, ticker: HOLL | Permalink | Comments (0) | TrackBack (0)

Tuesday, August 09, 2005

Jupitermedia discusses effective web advertising (JUPM 2Q05 conf call quotes)

Jupitermedia (ticker: JUPM) CEO Alan Meckler didn't have an easy time on his Q2 conference call. Revenue decelerated, margins shrank, and JUPM stock fell in reaction. But his comments about 'Net advertising were of interest to anyone watching the space. Excerpts:

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Posted by David Jackson on August 9, 2005 at 12:01 AM in Conf call quotes, Sub-sector: Advertising, ticker: JUPM | Permalink | Comments (0) | TrackBack (0)

Monday, August 08, 2005

Audible discusses Podcasting (ADBL 2Q05 conf call quotes)

Audible (ticker: ADBL) derived 14% of its Q2 revenue from Apple's iTunes Music Store, the same percentage as in Q1. Despite that lack of growth, CEO Donald Katz was optimistic about the impact on Audible's sales from Apple's embrace of free podcasts. His comments about podcasts on Audible's Q2 conference call are interesting, particularly in light of the longer-term risks to Audible from Apple and podcasts. Excerpts:   

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Posted by David Jackson on August 8, 2005 at 03:38 AM in Conf call quotes, Sub-sector: Advertising, Sub-sector: Content, ticker: AAPL, ticker: ADBL | Permalink | Comments (1) | TrackBack (0)

FastClick discusses ad network growth and quality (FSTC 2Q05 conf call quotes)

CEO Kurt Johnson discussed the growth of FastClick's (ticker: FSTC) ad network on his Q2 conference call. Amid his comments, he stated that during the quarter FastClick eliminated over 200 current members from its network and rejected 84% of the web sites that applied to join. The tone of his remarks was optimistic and upbeat, but this is almost the clearest acknowledgement of the extent of the adware/spyware/low-traffic-quality problem to date. Excerpts:

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Posted by David Jackson on August 8, 2005 at 03:08 AM in Conf call quotes, Sub-sector: Advertising, ticker: FSTC | Permalink | Comments (0) | TrackBack (0)

Tuesday, August 02, 2005

NY Times discusses online ads and About.com (NYT 2Q05 conf call quotes)

New York Times Company (ticker: NYT) CEO Janet Robinson discussed her company's growth in online ad revenue and the performance of About.com on NYT's Q2 conference call. Excerpts:

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Posted by David Jackson on August 2, 2005 at 08:30 AM in Conf call quotes, Sub-sector: Advertising, Sub-sector: Content, ticker: NYT | Permalink | Comments (1) | TrackBack (0)

Online ad prices push another company to offline ads (DIET 2Q05 conf call quotes)

eDiets (ticker: DIET) CEO David Humble gave one of the clearest descriptions to date of the inflation in online ad prices on his company's Q2 conference call. Excerpts:

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Posted by David Jackson on August 2, 2005 at 12:07 AM in Conf call quotes, Sub-sector: Advertising, Sub-sector: E-tailing, ticker: DIET | Permalink | Comments (0) | TrackBack (0)

Drugstore.com discusses its new ad campaign (DSCM 2Q05 conf call quotes)

Drugstore.com (ticker: DSCM) is about to run an ad campaign with two interesting aspects: first, it is largely offline. And second, it is targeted as much at current customers than attracting new customers. Comments from CEO Dawn Lepore from DSCM's Q2 conference call:

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Posted by David Jackson on August 2, 2005 at 12:01 AM in Conf call quotes, Sub-sector: Advertising, Sub-sector: E-tailing, ticker: DSCM | Permalink | Comments (0) | TrackBack (0)

Thursday, July 28, 2005

Bankrate discusses CPC ads (RATE 2Q05 conf call quotes)

Bankrate (ticker: RATE) provides information about interest rates on loans and deposits, often in table fomat. The company announced last quarter that it planned to charge advertisers on a cost-per-click basis rather than a flat monthly fee for a hyperlink. CEO Tom Evans gave more details on the Q2 conference call, including an estimate of the impact on Bankrate's future revenue:

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Posted by David Jackson on July 28, 2005 at 12:09 AM in Conf call quotes, Sub-sector: Advertising, Sub-sector: Content, ticker: RATE | Permalink | Comments (0) | TrackBack (0)

Wednesday, July 20, 2005

Yahoo discusses contextual advertising (2Q05 conf call quotes; YHOO, GOOG)

It's long been suspected that Yahoo (ticker: YHOO) is preparing a service to place contextually relevant ads on publishers' web sites; namely, a competitor to Google's (ticker: GOOG) AdSense For Publishers. Here are comments from Yahoo CEO Terry Semel on his Q2 conference call about search and contextual ads:

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Posted by David Jackson on July 20, 2005 at 12:01 AM in Conf call quotes, Sub-sector: Advertising, Sub-sector: Search, ticker: GOOG, ticker: YHOO | Permalink | Comments (3) | TrackBack (0)

Wednesday, July 13, 2005

Will there be consolidation among the online ad networks? (FSTC, GOOG, MSFT, TWX, VCLK, YHOO)

There's an interesting debate occuring about the online ad networks. Online Journalism Review summarized the problems with Google's AdSense program and Yahoo's ContentMatch program. Jason Calacanis, founder of blog network Weblogs Inc., admits that most of his ad revenue is from brand ads, but still argues that contextual ads have no downside. He then wrote:

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Posted by David Jackson on July 13, 2005 at 11:25 AM in Sub-sector: Advertising, ticker: FSTC, ticker: GOOG, ticker: MSFT, ticker: TWX, ticker: VCLK, ticker: YHOO | Permalink | Comments (0) | TrackBack (0)

Netflix offers ads, Answers.com more popular than Wikipedia? (NFLX, GRU)

Quick news/analysis:

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Posted by David Jackson on July 13, 2005 at 12:29 AM in Sub-sector: Advertising, Sub-sector: Search, ticker: FSTC, ticker: GOOG, ticker: GRU, ticker: MSFT, ticker: NFLX, ticker: TWX, ticker: YHOO | Permalink | Comments (2) | TrackBack (0)

Friday, July 08, 2005

What moves micro-cap Internet stocks? Lots of news, as Quepasa shows (QPSA)

Quepasa Corporation (ticker: QPSA.ob), which operates an Internet portal and online community  aimed at the U.S. Hispanic market, has a market cap of about $18 million according to Yahoo Finance. That's about 25% higher than it was four days ago. Here's what's been going on; it's a great study in what moves micro-cap 'Net stocks:

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Posted by David Jackson on July 8, 2005 at 01:53 AM in Sub-sector: Advertising, ticker: QPSA | Permalink | Comments (1) | TrackBack (0)

Fastclick isn't fast enough (FSTC)

So says Citigroup Internet analyst Mark Mahaney in his Thursday initiation of coverage report on Fastclick (ticker: FSTC). Excerpts:

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Posted by David Jackson on July 8, 2005 at 12:48 AM in Sub-sector: Advertising, ticker: FSTC | Permalink | Comments (0) | TrackBack (0)

Thursday, June 23, 2005

Six Apart adds contextual ads to blogs; Google will follow; but Yahoo? (GOOG, YHOO)

Six Apart sent an email to customers announcing the integration of Kanoodle contextual ads with its hosted blogging software product TypePad. This is clearly a sensible move for Six Apart, and probably presages a similar strategy from Google. But where does it leave Yahoo? Details and quick comments:

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Posted by David Jackson on June 23, 2005 at 12:15 AM in Sub-sector: Advertising, Sub-sector: Content, ticker: EBAY, ticker: GOOG, ticker: YHOO | Permalink | Comments (4) | TrackBack (0)

Friday, June 17, 2005

ValueClick discusses online advertising (VCLK)

Sam Paisley, Chief Administrative Officer of affiliate marketing and advertising firm ValueClick (ticker: VCLK), spoke at the Stephens Information Technology and Services Conference on June 9th. Here were some of his comments about the online advertising market and ValueClick's growth rate:

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Posted by David Jackson on June 17, 2005 at 12:08 AM in Conf call quotes, Sub-sector: Advertising, ticker: VCLK | Permalink | Comments (0) | TrackBack (0)

Thursday, June 16, 2005

Three risks to Yahoo's stock (YHOO)

Analyst Mark Mahaney just moved from American Technology Research to Citigroup Smith Barney, and re-initiated coverage on the Internet stocks he follows. His June 8th report on Yahoo (ticker: YHOO) outlines three risks to Yahoo's stock, and makes interesting reading:

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Posted by David Jackson on June 16, 2005 at 12:02 AM in Sub-sector: Advertising, Sub-sector: Search, ticker: YHOO | Permalink | Comments (0) | TrackBack (1)

Tuesday, June 14, 2005

Real Networks on downloads (RNWK, IVIL, MNST, GOOG, TSCM)

Real Networks (ticker: RNWK) CEO Rob Glaser discussed his company's move into revenue generated by ad sales and download fees on his Q1 (May 4th) conference call. Download partners? Weather Channel and Google. Plus, he mentioned hiring execs with experience from Monster.com (ticker: MNST), iVillage (ticker: IVIL) and TheStreet.com (ticker: TSCM). Extracts:

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Posted by David Jackson on June 14, 2005 at 12:01 AM in Conf call quotes, Sub-sector: Advertising, Sub-sector: Services, ticker: GOOG, ticker: IVIL, ticker: MNST, ticker: RNWK, ticker: TSCM | Permalink | Comments (0) | TrackBack (0)

Thursday, June 09, 2005

Career builder, Monster demolition? (MNST)

One of the fascinating aspects of Google's contextual ad service from a Web publisher's perspective is seeing which ads come up on your pages. Google recently began to place CPM-based ads (where the publisher gets paid for page views rather than clicks), and the result has been a plethora of new ads. One interesting take-away for 'Net stocks:

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Posted by David Jackson on June 9, 2005 at 09:39 AM in Sub-sector: Advertising, Sub-sector: Services, ticker: GOOG, ticker: MNST | Permalink | Comments (1) | TrackBack (0)

Tuesday, May 24, 2005

The Spitzer Internet Danger List - an update (AQNT, GOOG)

An earlier post on The Internet Stock Blog provided a list of stocks at risk from Eliot Spitzer's attack on the Adware/Spyware industry. One group with potential exposure: providers of paid search and affiliate ads, including FindWhat (ticker: FWHT), Yahoo/Overture (ticker: YHOO), CGI Holding (ticker: THK), ValueClick (ticker: VCLK), 24/7 Media (ticker: TFSM), Think Partership (ticker: THK) and LinkShare (partially owned by Internet Capital Group, ticker: ICGE).

Now research by Spyware legal expert Ben Edelman has expanded the list to cover other publicly-traded companies. They are:

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Posted by David Jackson on May 24, 2005 at 01:49 AM in Sub-sector: Advertising, ticker: AQNT, ticker: DCLK, ticker: FSTC, ticker: FWHT, ticker: GOOG, ticker: ICGE, ticker: TFSM, ticker: THK, ticker: VCLK | Permalink | Comments (0) | TrackBack (3)

Monday, May 23, 2005

Dave Edwards on Yahoo and Google (YHOO, GOOG)

Mark Mahaney has moved from American Technology Research to Citigroup Smith Barney as the new Internet Analyst; his place is taken by Dave Edwards. Here's an extract from Dave's first note to clients about Yahoo (ticker: YHOO) and Google (ticker: GOOG):

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Posted by David Jackson on May 23, 2005 at 01:51 PM in Sub-sector: Advertising, Sub-sector: Search, ticker: GOOG, ticker: YHOO | Permalink | Comments (1) | TrackBack (0)

Yahoo readies publisher tools to compete with Google (YHOO, GOOG)

Yahoo (ticker: YHOO) sent an email 20 minutes ago to web publishers interested in its upcoming contextual advertising products. (They'll compete with Google's AdSense for Publishers.) Here's the full text of the email followed by a quick comment:

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Posted by David Jackson on May 23, 2005 at 01:16 PM in Sub-sector: Advertising, Sub-sector: Search, ticker: GOOG, ticker: YHOO | Permalink | Comments (0) | TrackBack (0)

Monday, May 09, 2005

Sell-side reaction to ValueClick's (VCLK) earnings

From Pacific Growth Research analyst Derek Brown's May 5th note to clients reacting to ValueClick's (ticker: VCLK) Q1 earnings:

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Posted by David Jackson on May 9, 2005 at 12:00 PM in Earnings results, Sub-sector: Advertising, ticker: VCLK | Permalink | Comments (0) | TrackBack (0)

Friday, May 06, 2005

ValueClick discusses comparison shopping (1Q05 conf call quotes)

ValueClick (ticker: VCLK) CEO Jim Zarley discussed PriceRunner, the European comparison shopping business his company acquired. Standard & Poor's Equity Research analyst Scott Kessler asked Mr Zarley how PriceRunner would be differentiated from the competition once it enters the U.S. market. Here's Mr Zarley's response, and a couple of quick questions:

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Posted by David Jackson on May 6, 2005 at 12:30 PM in Conf call quotes, Sub-sector: Advertising, Sub-sector: Search, ticker: SHOP, ticker: VCLK | Permalink | Comments (1) | TrackBack (2)

Tuesday, May 03, 2005

CNET responds to discussion of Download.com and Adware/Spyware

CNET PR Spokesperson Sarah Cain wrote the following email (published with her permission) in response to yesterday's post CNET's exposure to Spitzer's attack on Adware: more details (in contrast, a spokesperson for LinkShare said "At this time, we have no comment."):

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Posted by David Jackson on May 3, 2005 at 01:04 PM in Sub-sector: Advertising, Sub-sector: Content, ticker: CNET, ticker: ICGE | Permalink | Comments (0) | TrackBack (0)

Bambi Francisco on Internet stocks' Adware exposure

Bambi Francisco, who covers Internet stocks for MarketWatch, published a column this morning about Internet companies' exposure to potential Adware/Spyware litigation. It's surprising that the issue has hit the mainstream financial literature so quickly - most sell-side analysts haven't yet acknowledged the risk to stocks. Perhaps this says a lot about the quality of Ms. Francisco's coverage. Key quotes from her article:

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Posted by David Jackson on May 3, 2005 at 11:07 AM in Sub-sector: Advertising, Sub-sector: Content, ticker: ASKJ, ticker: CNET, ticker: FWHT, ticker: MIX, ticker: NFLX, ticker: VCLK, ticker: YHOO | Permalink | Comments (0) | TrackBack (0)

Monday, May 02, 2005

Ask Jeeves' exposure to Spitzer's attack on Adware/Spyware

Ben Edelman, who publishes detailed reports on Adware and Spyware from a legal perspective on his web site, has left two comments highlighting Ask Jeeves' (ticker: ASKJ, being acquired by IAC, ticker: IACI) exposure to the unfolding legal attack on Adware/Spyware. In the first, he argues that Ask Jeeves's exposure is greater than my original article suggested, and in the second he provides proof of ASKJ's involvement.

Both are required reading for investors holding ASKJ or IACI stock. 

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Posted by David Jackson on May 2, 2005 at 02:26 PM in Sub-sector: Advertising, Sub-sector: Content, ticker: ASKJ, ticker: IACI | Permalink | Comments (0) | TrackBack (0)

Affiliate marketers VCLK, ICGE's exposure to Spitzer's attack on Adware: more details

The Internet Danger List: stocks at risk from Spitzer's attack on Adware included a section on affiliate marketing companies ValueClick (ticker: VCLK), Commission Junction (partially owned by Internet Capital Group, ticker: ICGE) and Think Partnership (ticker: THK). Here's more detail on those companies' potential exposure to the Adware/Spyware issue, aided by input from readers' since the original article was published:

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Posted by David Jackson on May 2, 2005 at 02:06 PM in Sub-sector: Advertising, Sub-sector: Content, ticker: ICGE, ticker: TFSM, ticker: THK, ticker: VCLK | Permalink | Comments (0) | TrackBack (0)

CTO of KowaBunga (owned by THK) on his company's exposure to Adware

Jeff Doak, CTO of affiliate marketing company KowaBunga Marketing, which is owned by Think Partnership (ticker: THK), sent me the following in response to The Internet Danger List: stocks at risk from Spitzer's attack on Adware which he suggested I publish:

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Posted by David Jackson on May 2, 2005 at 01:33 PM in Sub-sector: Advertising, Sub-sector: Content, ticker: THK | Permalink | Comments (4) | TrackBack (0)

CNET's exposure to Spitzer's attack on Adware: more details

Industry insiders contacted me about CNET Network's potential legal exposure to Adware/Spyware following Eliot Spitzer's suit against Intermix (ticker: MIX) and the Internet Stock Blog's discussion of stocks at risk from Spitzer's attack on Adware. Key points from the conversations:

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Posted by David Jackson on May 2, 2005 at 11:29 AM in Sub-sector: Advertising, Sub-sector: Content, ticker: CNET, ticker: TCOW | Permalink | Comments (0) | TrackBack (1)

Friday, April 29, 2005

The Internet Danger List: stocks at risk from Spitzer's attack on Adware

The attack on the illegal disemination of spyware and adware may not end with Eliot Spitzer's suit against Intermix Media (ticker: MIX). This report outlines why and provides a tentative list of other Internet stocks at risk. Stocks mentioned: ASKJ, CD, CNET, FLWS, FWHT, IACI, ICGE, INPC, SPRK, TFSM, THK, TSG, VLCK, and YHOO.

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Posted by David Jackson on April 29, 2005 at 03:14 AM in Sector Themes/Outlook, Sub-sector: Advertising, ticker: ASKJ, ticker: CD, ticker: CNET, ticker: FLWS, ticker: FWHT, ticker: IACI, ticker: ICGE, ticker: INPC, ticker: SPRK, ticker: TFSM, ticker: THK, ticker: TSG, ticker: VCLK, ticker: YHOO | Permalink | Comments (5) | TrackBack (10)

Full text of Spitzer's petition against Intermix Media

NY Attorney General Eliot Spitzer sued Intermix Media (ticker: MIX), alleging that the firm was the source of "spyware" and "adware" that has been secretly installed on millions of home computers. Here's the entire text of the Verified Petition; it's required reading for any investor in Internet content or advertising stocks. The Brookman Affirmation referenced in the document is this PDF.

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Posted by David Jackson on April 29, 2005 at 12:15 AM in Sub-sector: Advertising, Sub-sector: Content, ticker: MIX | Permalink | Comments (0) | TrackBack (0)

Wednesday, April 27, 2005

DoubleClick puts a brave face on a humiliating exit (quotes from acquisition conf call)

DoubleClick (ticker: DCLK) CFO Bruce Dalziel outlined the terms of his company's acquisition by private equity firm Hellman & Friedman on a conference call with investors. CEO Kevin Ryan will quit, the company will be purchased for cash, and investor hopes of strong returns from an Internet advertising stock are dashed. Here's the brave face Mr Dalziel puts on the company's exit from the public stage:

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Posted by David Jackson on April 27, 2005 at 01:07 AM in Conf call quotes, Sub-sector: Advertising, ticker: DCLK | Permalink | Comments (0) | TrackBack (0)

DoubleClick on the online ad market (1Q05 conf call quotes)

DoubleClick's (ticker: DCLK) revenues from its Ad Management business were down almost 5% year over year. But CEO Kevin Ryan still made positive comments on his Q1 conference call about the online ad market:

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Posted by David Jackson on April 27, 2005 at 12:56 AM in Conf call quotes, Sub-sector: Advertising, Sub-sector: Content, ticker: DCLK | Permalink | Comments (0) | TrackBack (0)

Overstock switching auction marketing from TV to paid search

Overstock.com (ticker: OSTK) CEO Patrick Byrne discusses his company's auction business on his blog. eBay (ticker: EBAY) investors should read his comments about commitment to the auction business; and Google (ticker: GOOG) investors should read his remarks about switching marketing dollars from TV ads to paid search.

Here's the text (republished in full with the understanding that Mr Byrne would like his views made known):

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Posted by David Jackson on April 27, 2005 at 12:08 AM in Sub-sector: Advertising, Sub-sector: E-tailing, Sub-sector: Search, ticker: EBAY, ticker: GOOG, ticker: OSTK | Permalink | Comments (0) | TrackBack (0)

Tuesday, April 26, 2005

DoubleClick take-out and lackluster earnings a warning for other Internet ad stocks? (1Q05 earnings)

DoubleClick (ticker: DCLK) agreed to be acquired by private equity firm Hellman & Friedman LLC for $8.50 per share in cash, following lackluster Q1 results. Though DCLK is no longer "in play" for most investors (its now an arbitrage bet on the deal's closure), its Q1 results and purchase provide important data points and lessons for Internet investors. Details and comments:

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Posted by David Jackson on April 26, 2005 at 11:35 AM in Earnings results, Sub-sector: Advertising, ticker: APTM, ticker: AQNT, ticker: DCLK, ticker: FSTC, ticker: FWHT, ticker: LOOK, ticker: TFSM, ticker: VCLK | Permalink | Comments (2) | TrackBack (0)

Monday, April 25, 2005

GOOG expands ad formats

Google (ticker: GOOG) emailed its content partners this evening to announce an upgrade to its contextual advertising offering. New ad formats offer greater control for advertisers and a wider choice of formats for publishers. Full text of the email:

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Posted by David Jackson on April 25, 2005 at 11:05 PM in Sub-sector: Advertising, ticker: GOOG | Permalink | Comments (0) | TrackBack (0)

Tuesday, April 19, 2005

Intermix Media's lesson in why you should read privacy policies

Intermix Media (ticker: MIX), which is being investigated by Elliot Spitzer for illegal use of spyware, publishes its privacy policy on its web sites. Here's an (enjoyable) extract that refers to the use of "desktop software products", aka spyware:

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Posted by David Jackson on April 19, 2005 at 12:41 AM in Sub-sector: Advertising, ticker: MIX | Permalink | Comments (1) | TrackBack (2)

Monday, April 18, 2005

Does Yahoo have exposure to the Intermix Media spyware case?

Intermix Media (ticker: MIX), which provides online games and greeting cards, filed notification with the SEC on April 12th that it was being investigated by the NY Attorney General's office for illegal spyware. Full text, a comment and a question:

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Posted by David Jackson on April 18, 2005 at 12:40 AM in Sub-sector: Advertising, ticker: MIX, ticker: YHOO | Permalink | Comments (1) | TrackBack (2)

Thursday, April 07, 2005

Sell-side analyst cuts estimate for ValueClick but still likes the stock

Pacific Growth Equities analyst Derek Brown cut his estimates on ValueClick (ticker: VCLK) but maintained his Overweight rating. Here's an extract from his note to clients:

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Posted by David Jackson on April 7, 2005 at 02:08 PM in Sub-sector: Advertising, ticker: VCLK | Permalink | Comments (0) | TrackBack (0)

Wednesday, March 30, 2005

WebSideStory bounced around by Google acquisition

WebSideStory's stock (ticker: WSSI) has bounced around over the last couple of days in reaction to Google's (ticker: GOOG) acquisition of web analytics firm Urchin Software. Does the Google purchase validate WSSI's business or dramatically increase competition?

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Posted by David Jackson on March 30, 2005 at 10:57 AM in Sub-sector: Advertising, Sub-sector: Services, ticker: GOOG, ticker: WSSI | Permalink | Comments (4) | TrackBack (0)

Monday, March 28, 2005

Forbes loves Fastclick (FSTC), but did it read the S-1?

Forbes published a glowing review of Fastclick's (proposed ticker: FSTC) upcoming IPO based on information from its S-1, claiming that investors should "Expect the company's IPO to turn in a solid first day", and concluding that "Fastclick looks like a winner". Here's what Forbes mentioned about Fastclick, with some comments about what it didn't mention:

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Posted by David Jackson on March 28, 2005 at 07:05 AM in Sub-sector: Advertising, ticker: FSTC | Permalink | Comments (1) | TrackBack (0)

Wednesday, March 23, 2005

Will Fastclick pop-under after its IPO?

Internet advertising company Fastclick (proposed ticker: FSTC) is on its IPO roadshow now. Here are some key stats from the S-1 plus comments and analysis. Investors had better read them carefully. Do they know, for example, that 51% of Fastclick's 2004 revenues came from pop-under ads?

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Posted by David Jackson on March 23, 2005 at 12:02 AM in Sub-sector: Advertising, ticker: FSTC | Permalink | Comments (0) | TrackBack (0)

Key quotes from the Fastclick S-1

Here are some key quotes from online ad company Fastclick's S-1 (proposed ticker: FSTC). The quotes cover its reliance on pop-under ads, different types of online ads, its revenue share with publishers, its advertiser customers, its acquisition strategy, click fraud, and its rising sales and marketing expenses:

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Posted by David Jackson on March 23, 2005 at 12:01 AM in Sub-sector: Advertising, ticker: FSTC | Permalink | Comments (0) | TrackBack (0)

Tuesday, March 22, 2005

Homestore joins the rush to PPC ads (quotes from the 4Q04 conf call)

Homestore.com (ticker: HOMS) CEO Mike Long mentioned plans to offer pay-per-click ads on Homestore's network of web sites on his Q4 earnings conference call. Here are some key quotes from the call, followed by a quick comment:

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Posted by David Jackson on March 22, 2005 at 08:37 AM in Conf call quotes, Sub-sector: Advertising, ticker: HOMS, ticker: RATE | Permalink | Comments (0) | TrackBack (0)

Monday, March 21, 2005

Google announces new AdSense features

Google just sent the following email, announcing new features for its contextual advertising service, to its AdSense publisher customers:

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Posted by David Jackson on March 21, 2005 at 06:35 PM in Sub-sector: Advertising, ticker: GOOG | Permalink | Comments (0) | TrackBack (0)

Tuesday, March 15, 2005

Aptimus (APTM) on cost-per-lead based ads (quotes from 4Q04 conf call)

Aptimus (ticker: APTM) CEO Tim Choate discussed "cost-per-lead" based advertising on his company's Q4 earnings conference call (Feb 17th). Aptimus runs a pay-per-action advertising network. Key quotes:

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Posted by David Jackson on March 15, 2005 at 09:12 AM in Conf call quotes, Sub-sector: Advertising, ticker: APTM | Permalink | Comments (0) | TrackBack (0)

Monday, March 14, 2005

WSJ on YHOO competitor to GOOG AdSense

The Wall Street Journal (finally!) reports today that "Yahoo Inc. plans to introduce a system to broker online advertisements for small and midsize Web publishers, according to people familiar with the matter."

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Posted by David Jackson on March 14, 2005 at 12:18 PM in Sub-sector: Advertising, ticker: GOOG, ticker: YHOO | Permalink | Comments (0) | TrackBack (0)

Wednesday, March 09, 2005

GOOG UNDER THREAT: YHOO subdomain confirms competing service to AdSense

Yahoo has effectively confirmed that it will soon introduce a competitor to Google's AdSense (contextually placed keyword ads) for publishers program. This is highly significant for both YHOO and GOOG, and investors in both companies should take careful note. The proof of Yahoo's imminent new service?

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Posted by David Jackson on March 9, 2005 at 01:20 PM in Sub-sector: Advertising, ticker: GOOG, ticker: YHOO | Permalink | Comments (0) | TrackBack (1)

24/7 Real Media - TFSM - entire 4Q04 conf call transcript

24/7 Real Media (ticker: TFSM)'s Q4 conference call transcript is not available from StreetEvents, so I'm providing it here in full. One of my goals is to make The Internet Stock Blog a valuable Internet stock research tool, which is why every post is categorized by ticker and the tickers are listed down the left-hand side of the page.

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Posted by David Jackson on March 9, 2005 at 11:19 AM in Conf call quotes, Sub-sector: Advertising, ticker: TFSM | Permalink | Comments (0) | TrackBack (0)

Tuesday, March 08, 2005

24/7 Real Media - TFSM - on search (4Q04 conf call quotes)

24/7 Real Media (ticker: TFSM) discussed its acquisition of Decide Interactive, a provider of  bid management tools for keyword ads placed on search results, on its Q4 results conference call. Here are the comments, including excerpts from the Q&A:

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Posted by David Jackson on March 8, 2005 at 02:39 PM in Sub-sector: Advertising, Sub-sector: Search, ticker: TFSM | Permalink | Comments (0) | TrackBack (0)

YHOO readies competitor to GOOG AdSense

Multiple reports confirm that Yahoo! (ticker: YHOO) is preparing a competing service to Google's AdSense. AdSense is a fully automated contextual advertising program for publishers that has been remarkably successful in attracting small Web publishers.  Details and implications:

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Posted by David Jackson on March 8, 2005 at 01:16 PM in Sub-sector: Advertising, Sub-sector: Content, ticker: GOOG, ticker: YHOO | Permalink | Comments (0) | TrackBack (2)

eCommerce and content developments in brief

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Posted by David Jackson on March 8, 2005 at 08:20 AM in Sub-sector: Advertising, Sub-sector: Content, Sub-sector: E-finance, Sub-sector: E-tailing, ticker: AMZN, ticker: BFLY, ticker: BOFI, ticker: MACR, ticker: NTBK, ticker: YHOO | Permalink | Comments (0) | TrackBack (0)

Saturday, March 05, 2005

24/7 Real Media - TFSM - EPS in line, guides below consensus

24/7 Real Media (ticker: TFSM) announced Q4 results on March 2nd. TFSM stock closed at $3.55 before results were announced; the next day it opened at $3.66, and on Friday closed at $3.43. Key data points from the results, plus a couple of quick comments:

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Posted by David Jackson on March 5, 2005 at 11:17 PM in Earnings results, Sub-sector: Advertising, ticker: TFSM | Permalink | Comments (0) | TrackBack (0)

Friday, March 04, 2005

Business Week's odd take on GOOG and YHOO

Business Week's Ben Elgin asks whether Google (ticker: GOOG) is "a $50 Billion One-Trick Pony". Here are the five key points from the article followed by some comments that question its conclusion:

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Posted by David Jackson on March 4, 2005 at 02:39 PM in Sub-sector: Advertising, Sub-sector: Search, ticker: GOOG, ticker: YHOO | Permalink | Comments (2) | TrackBack (0)

Wednesday, March 02, 2005

How big a problem is click-fraud?

According to The Times of India, "A growing number of housewives, college graduates, and even working professionals across metropolitan cities are rushing to click paid Internet ads to make $100 to $200... per month". Investors in search and advertising stocks had better understand the scope of the click-fraud problem. Some thoughts:

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Posted by David Jackson on March 2, 2005 at 07:20 AM in Sub-sector: Advertising, Sub-sector: Search, ticker: ASKJ, ticker: FWHT, ticker: GOOG, ticker: LOOK, ticker: MAMA, ticker: YHOO | Permalink | Comments (2) | TrackBack (0)

Tuesday, March 01, 2005

Will advertising shift from newspapers to the Internet?

Yes. In one picture, here's why:

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Posted by David Jackson on March 1, 2005 at 07:06 AM in Sector Themes/Outlook, Sub-sector: Advertising | Permalink | Comments (2) | TrackBack (3)

Thursday, February 24, 2005

WebSideStory (WSSI) on keyword bid management (quotes from the Atomz acquisition conf call)

Here's what WebSideStory (ticker: WSSI) CEO Jeff Lunsford said about keyword bid management on his February 9th conference call discussing the acquisition of Atomz:

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Posted by David Jackson on February 24, 2005 at 07:18 PM in Conf call quotes, Sub-sector: Advertising, Sub-sector: Services, ticker: WSSI | Permalink | Comments (0) | TrackBack (0)

FindWhat.com (FWHT) on the pay-for-performance advertising market (quotes from the 4Q04 conf call)

Here's what FindWhat (ticker: FWHT) CEO Craig Pisaris-Henderson said on his fourth quarter earnings results conference call about the future of the pay-for-performance advertising market:

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Posted by David Jackson on February 24, 2005 at 12:04 AM in Conf call quotes, Sub-sector: Advertising, Sub-sector: Content, ticker: FWHT | Permalink | Comments (0) | TrackBack (2)

Wednesday, February 23, 2005

Amazon - AMZN - chief scientist leaves for private company

Amazon's (ticker: AMZN) chief scientist, Dr. Andreas Weigend, has jumped ship for privately-held Poindexter Systems. Poindexter is developing behavioural advertising technology; Wiegend led Amazon's development of predictive models used for recommendations and cross-selling.

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Posted by David Jackson on February 23, 2005 at 12:03 AM in Sub-sector: Advertising, Sub-sector: E-tailing, ticker: AMZN | Permalink | Comments (0) | TrackBack (0)

Sunday, February 20, 2005

Sell-side reaction to ValueClick's (VCLK) quarter

Here's an extract from what Pacific Growth Equities analyst Derek Brown wrote to clients after ValueClick announced its Q4 results and discussed expansion on its conference call:

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Posted by David Jackson on February 20, 2005 at 09:56 AM in Sub-sector: Advertising, ticker: VCLK | Permalink | Comments (0) | TrackBack (0)

Friday, February 18, 2005

ValueClick (VCLK) on AdWords and affiliate marketing (quotes from the 4Q04 conf call)

ValueClick (ticker: VCLK) CEO JIm Zarley discusses the impact on affiliate marketers of Google's change in rules to the AdWords program, which reduces the number of ads that appear for the same product and end-vendor on a single search or content page.  Here's what he said:

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Posted by David Jackson on February 18, 2005 at 10:45 AM in Conf call quotes, Sub-sector: Advertising, ticker: VCLK | Permalink | Comments (0) | TrackBack (2)

ValueClick (VCLK) blows out numbers (Q4 '04 earnings)

ValueClick (ticker: VCLK) blew out Q4 earnings numbers. Details:

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Posted by David Jackson on February 18, 2005 at 10:36 AM in Earnings results, Sub-sector: Advertising, ticker: VCLK | Permalink | Comments (0) | TrackBack (0)

NY Times discusses About.com acquisition (quotes from the conf call)

NY Times CEO Janet Robinson, EVP Digital Ops Martin Nisenholz and CFO Len Forman discuss their company's acquisition of About.com for $410 million:

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Posted by David Jackson on February 18, 2005 at 12:41 AM in Conf call quotes, Sub-sector: Advertising, Sub-sector: Content, ticker: GOOG, ticker: NYT | Permalink | Comments (0) | TrackBack (1)

Thursday, February 17, 2005

IAC (IACI) on local online ads and services (quotes from the conf call)

IAC (ticker: IACI) CEO Barry Diller talked on his Q4 results conference call about all of IAC's businesses. Here's what he said about local advertising and services:

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Posted by David Jackson on February 17, 2005 at 08:29 PM in Conf call quotes, Sub-sector: Advertising, Sub-sector: Content, Sub-sector: E-tailing, Sub-sector: Services, ticker: IACI | Permalink | Comments (0) | TrackBack (0)

Internet Capital Group (ICGE) discusses LinkShare and On-Demand software (quotes from the conf call)

Internet Capital Group CEO Walter Buckley discussed LinkShare, which ICGE owns 40% of, and On-Demand software. LinkShare competes directly with ValueClick (ticker: VCLK). Here's what Buckley said:

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Posted by David Jackson on February 17, 2005 at 03:46 PM in Conf call quotes, Sub-sector: Advertising, ticker: ICGE, ticker: VCLK | Permalink | Comments (0) | TrackBack (0)

Internet Capital Group (ICGE) reports 4Q04 numbers

Internet Capital Group (ticker: ICGE), which invests in start-up Internet businesses and owns a 40% stake in affiliate marketing company LinkShare, reported Q4 results. The stock was down about 2.5% in a weak tape in subsequent trading. Key stats and a quick comment:

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Posted by David Jackson on February 17, 2005 at 03:31 PM in Earnings results, Sub-sector: Advertising, ticker: ICGE | Permalink | Comments (0) | TrackBack (0)

Wednesday, February 16, 2005

aQuantive (AQNT) on the online advertising market in 2005 (quotes from the conf call)

Brian McAndrews, CEO of aQuantive (ticker: AQNT), talked about the prospects for the online ad market in 2005. Here's what he said:

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Posted by David Jackson on February 16, 2005 at 03:30 PM in Conf call quotes, Sub-sector: Advertising, ticker: AQNT | Permalink | Comments (0) | TrackBack (0)

aQuantive (AQNT) rises 12% after beating EPS and revenue consensus (4Q04 earnings)

Interactive advertising company aQuantive announced Q4 results that beat consensus EPS estimates by $0.05, and consensus revenue estimates by about 10%. Details:

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Posted by David Jackson on February 16, 2005 at 03:25 PM in Earnings results, Sub-sector: Advertising, ticker: AQNT | Permalink | Comments (0) | TrackBack (0)

Tuesday, February 15, 2005

What did Marchex (MCHX) really purchase?

Marchex (ticker: MCHX) announced the completion of its secondary stock offering and the closure of its acquisition of Name Development Ltd. for $164.2 million, comprising $155.2 million in cash and $9 million in stock. But what is Name Development Ltd? Marchex's press release is somewhat unclear:

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Posted by David Jackson on February 15, 2005 at 07:00 AM in Sub-sector: Advertising, Sub-sector: Content, Sub-sector: Search, ticker: MCHX | Permalink | Comments (3) | TrackBack (1)

Will GOOG and YHOO's contextual advertising businesses continue to grow?

Google and Yahoo (Overture) have built significant businesses providing contextual ads to Web sites. Here are two radically different views of the prospects for Google's AdSense and Yahoo's Overture contextual ad businesses:

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Posted by David Jackson on February 15, 2005 at 06:59 AM in Sub-sector: Advertising, ticker: GOOG, ticker: YHOO | Permalink | Comments (0) | TrackBack (0)

Sunday, February 13, 2005

7 reasons Google will rule the world

Paul Allen, managing partner of VC firm Infobase Ventures, reacts to Google's Q4 financial results by listing the reasons why he thinks Google is fundamentally superior to its competitors. Here they are in summary, plus a quick comment:

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Posted by David Jackson on February 13, 2005 at 12:56 PM in Sub-sector: Advertising, Sub-sector: Search, ticker: GOOG | Permalink | Comments (0) | TrackBack (1)

Wednesday, February 09, 2005

BusinessWeek raises questions about CNET

BusinessWeek's The Dilemma of CNET's Success is a thought-provoking article about the online ad market and CNET by Sarah Lacy. The key argument:

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Posted by David Jackson on February 9, 2005 at 05:50 PM in Sub-sector: Advertising, Sub-sector: Content, ticker: CNET | Permalink | Comments (0) | TrackBack (1)

Time Warner (TWX) on movies, cable, networks, and AOL (quotes from the conf call)

Here's what Time Warner (ticker: TWX) said on its conference call (key points and quotes) about movies, cable, networks and AOL. (Source: The Media Stock Blog - permission for full reproduction explicitly granted.)

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Posted by David Jackson on February 9, 2005 at 05:03 PM in Conf call quotes, Sub-sector: Advertising, Sub-sector: Content, Sub-sector: Infrastructure, ticker: TWX | Permalink | Comments (0) | TrackBack (0)

iVillage embraces blogs

Here's what iVillage CEO Doug McCormick said about blogs on iVillage's Q4 conference call:

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Posted by David Jackson on February 9, 2005 at 03:42 PM in Sub-sector: Advertising, Sub-sector: Content, ticker: IVIL | Permalink | Comments (0) | TrackBack (0)

iVillage (IVIL) on video ads (quotes from the conf call)

Here's what iVillage (ticker: IVIL) CEO Doug McCormick said about video ads on iVillage's Q4 conference call:

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Posted by David Jackson on February 9, 2005 at 03:40 PM in Conf call quotes, Sub-sector: Advertising, Sub-sector: Content, ticker: IVIL | Permalink | Comments (0) | TrackBack (0)

Tuesday, February 08, 2005

Ask Jeeves (ASKJ) on search and advertising (quotes from the conf call)

Here's what Ask Jeeves CEO Steve Berkowits said on ASKJ's Q4 earnings call about the search market, the online advertising market, and his company's strategy:

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Posted by David Jackson on February 8, 2005 at 07:27 AM in Conf call quotes, Sub-sector: Advertising, Sub-sector: Search, ticker: ASKJ | Permalink | Comments (0) | TrackBack (0)

Monday, February 07, 2005

Ah! So this is why Shopping.com is entering the financial services vertical.

Bankrate made the following point on its Q4 earnings call:

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Posted by David Jackson on February 7, 2005 at 03:48 PM in Sub-sector: Advertising, Sub-sector: Search, ticker: GOOG, ticker: RATE, ticker: SHOP, ticker: YHOO | Permalink | Comments (1) | TrackBack (0)

Bankrate.com (RATE) on Internet advertising (quotes from the conf call)

Here's what Bankrate.com CEO Tom Evans had to say about the Internet advertising market on his company's Q4 earnings conference call:

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Posted by David Jackson on February 7, 2005 at 03:29 PM in Conf call quotes, Sub-sector: Advertising, Sub-sector: Content, Sub-sector: Infrastructure, ticker: RATE | Permalink | Comments (0) | TrackBack (0)

Safa on SOHU

Piper Jaffray analyst Safa Rashtchy believes that the worst is over for Sohu.com (ticker: SOHU):

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Posted by David Jackson on February 7, 2005 at 03:03 PM in Sub-sector: Advertising, Sub-sector: Content, Sub-sector: Search, ticker: SOHU | Permalink | Comments (0) | TrackBack (0)

SOHU meets estimates on weak wireless revenue, lowers guidance

Sohu.com (ticker: SOHU), China's leading online media, communications, commerce and mobile value-added services company, met Q4 consensus EPS estimates of $.17. Here are the highlights:

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Posted by David Jackson on February 7, 2005 at 03:01 PM in Sub-sector: Advertising, Sub-sector: Content, Sub-sector: Search, ticker: SOHU | Permalink | Comments (0) | TrackBack (0)

Provide Commerce (PRVD) on online marketing (quotes from the conf call)

Provide Commerce (ticker: PRVD) has some interesting things to say about online marketing on its conference call:

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Posted by David Jackson on February 7, 2005 at 01:06 PM in Conf call quotes, Sub-sector: Advertising, Sub-sector: E-tailing, Sub-sector: Search, ticker: GOOG, ticker: PRVD, ticker: YHOO | Permalink | Comments (0) | TrackBack (0)

Sunday, February 06, 2005

Cnet (CNET) on online advertising (quotes from the conf call)

Here's what CNET had to say on its conference call about the online advertising market, and the company's focus and financial leverage:

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Posted by David Jackson on February 6, 2005 at 02:49 PM in Conf call quotes, Sub-sector: Advertising, Sub-sector: Content, ticker: CNET | Permalink | Comments (0) | TrackBack (0)

DoubleClick (DCLK) stock falls as company guides below consensus (4Q04 earnings)

DoubleClick's stock fell over 7% on Friday after the company announced Q4 results that beat consensus estimates, but provided guidance below consensus. Here's what Amtech Research analyst Mark Mahaney wrote to clients:

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Posted by David Jackson on February 6, 2005 at 12:22 AM in Earnings results, Sub-sector: Advertising, ticker: DCLK | Permalink | Comments (0) | TrackBack (0)

Monday, January 31, 2005

Digital River discusses web analytics and online marketing

Digital River provides e-commerce platforms and marketing for software companies. After its strong Q4 earnings report, the company's conference call focused on revenue growth, international expansion, financial leverage and the threat to its anti-virus customers from Microsoft's entry into the security software market.

Digital River is moving deeper into providing Web analytics and online marketing for its customers. Of all the topics it discussed, DRIV's comments about analytics and online marketing had the most relevance to the entire Internet sector. Here they are:

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Posted by David Jackson on January 31, 2005 at 07:10 AM in Sector Themes/Outlook, Sub-sector: Advertising, Sub-sector: Search, Sub-sector: Services, ticker: DRIV, ticker: WSSI | Permalink | Comments (0) | TrackBack (0)

Saturday, January 15, 2005

European online advertising to decelerate in 2005?

Jupiter Research says online advertising in Europe grew 30% in 2004, and will grow 28% in 2005. ClickZ's coverage of the forecast is bullish - its headline is "Euro Online Advertising Up and Rising".

But the numbers imply a slight deceleration.

Posted by David Jackson on January 15, 2005 at 11:29 PM in Sector Themes/Outlook, Sub-sector: Advertising | Permalink | Comments (0) | TrackBack (0)