Stock Watch: uBid Growing Fast

Shares of online superstore/auction site uBid (Nasdaq: UBID) soared nearly 25 percent on Thursday, climbing 7-1/16 to 35-9/16. The company’s press release announced it was ranked in the top 15 shopping sites, according to Media Metrix’s September report. Also, uBid was named by Worth Magazine as one of the 10 fastest-growing Internet companies.

Shares of uBid ran up to an unsustainable level after going public last December, and the stock is still well off its all-time high of 189.

At this level, uBid could merit the attention of investors. One notable thing about uBid is that both Merrill Lynch’s Henry Blodget and Wit Capital’s Jonathan Cohen have had good things to say about the company recently. Blodget and Cohen, you may remember, haven’t always seen eye-to-eye. Back when Blodget was with CIBC Oppenheimer last year, he gave Amazon.com a pre-split price target of $400, while Cohen, then with Merrill Lynch, said he believed Amazon.com would fall to a pre-split price target of $50.

Both of these analysts are stars in their field. The fact that both of them like uBid could mean that this stock has a good upside.

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