Stock Watch: eBay, Others Fall as Blodget Cuts Ratings

eBay, Inc. (Nasdaq: EBAY) fell 3 3/4 to 47 Monday as Henry Blodget, the influential Merrill Lynch analyst who is credited with predicting the rise in e-commerce stocks, reportedly lowered his investment ratings on the online auctioneer and a handful of other online issues.

Among other stocks said to have been downgraded by Blodget, DoubleClick, Inc. (Nasdaq: DCLK) lost 2 3/16 to 33, 24/7 Media (Nasdaq: TFSM) shed 15/16 to 10 1/2, and Buy.com (Nasdaq: BUYX) fell 19/32 to 3 1/16.

Reports said the downgrades reflect the analyst’s view that the industry’s initial boom is over, and that it is ripe for consolidation. That outlook is widely held by other analysts and investors, and many of the 11 stocks on Blodget’s hit list have already seen declines of as much as 90 percent. eBay traded as high as 127 1/2 over the past year, and DoubleClick has seen 135 1/4. eToys, which Blodget now rates a weak hold, closed Monday at 4 1/4, down from a 52-week high of 86.

Blodget also lowered ratings on Barnesandnoble.com, iVillage, Pets.com, Safeguard Scientifics, Quokka Sports and Webvan.

Leave a Comment

Please sign in to post or reply to a comment. New users create a free account.

Technewsworld Channels