<<Time will tell. I plan to be a long-term buy and holder with MSO. >>
TomD even with MSO KP pedigree it won't help. IMHOP.
When this Martha the hustler leaves the planet. Who will replace her?? You'd better be her personal Physician.;-)
<<Martha Stewart Living Omnimedia Inc., built from its founder's tips on cooking, entertaining, gardening and crafts, almost doubled in its first day of trading. World Wrestling Federation Entertainment Inc. rose 49 percent.
Martha Stewart ``has established a great franchise,' said Jeanne T. Hanley, president of Capital Reflections Inc., a North Granby, Connecticut-based research firm. ``Her name is really well known in the popular culture.'
Martha Stewart rose 17 9/16 to 35 9/16, giving the company a market value of $1.73 billion and Martha Stewart a stake worth $1.21 billion, while World Wrestling jumped 8 1/4 to 25 1/4. WWF has a market value of $1.68 billion and Chairman Vince McMahon and his family a stake worth about $1.43 billion.
Martha Stewart Living publishes books and two magazines, including Martha Stewart Living, produces a television program, and runs a Web site called marthastewart.com. The company also licenses the Martha Stewart name for paint, outdoor furniture, and garden tools sold through Kmart Corp. and Sears, Roebuck & Co.
Perfect Hostess
Martha Stewart came to broad public notice in 1982 with her first book, 'Entertaining'. She launched Martha Stewart Living magazine in 1991 with Time Publishing Ventures, a unit of Time Inc. -- then bought back the magazine and related businesses from Time in 1997, according to documents filed with the U.S. Securities and Exchange Commission.
Her appeal has created a profitable company: Martha Stewart Living earned $14.2 million on revenue of $111.5 million in the first six months of this year, up from $13.2 million on revenue of $86.3 million the same period a year ago.
About $73.3 million, or 66 percent, of the company's first half sales came from publishing; with 12 percent from the Internet; 11 percent from television; and 10 percent from merchandising.
Martha Stewart Living sold 7.2 million Class A shares at $18 each yesterday, raising $129.6 million. The sale represented a 15 percent stake. Morgan Stanley Dean Witter & Co. handled the sale. Martha Stewart retains all Class B shares, which have 10 votes each, giving her 96 percent of the voting power. >>
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NEW YORK, Oct 19 (Reuters) - Shares of Martha Stewart Living Omnimedia Inc. <MSO.N> on Tuesday jumped more than 75 percent in their market debut on the New York Stock Exchange, following an $18 per share initial public offering.
Shares of the media company, named for its chairwoman and chief executive Martha Stewart, were trading at $42.25 after opening more than 19 points higher, making the stock the No. 1 gainer on the Big Board.
Analysts expected Stewart's debut to take the lead among other IPOs that were set to go to market this week, shrugging off the beating that Wall Street suffered last week.
"Once the smell of the new money coming into the company wears off, she will probably be the best person at turning that money into new opportunities and new revenue sources," said David Menlow, president of IPO Financial Network.
The sun shone a little brighter on the corner of Wall and Broad Streets earlier in the day courtesy of Stewart, who treated early morning passersby to a breakfast of scallop-shaped brioches stuffed with scrambled eggs, fresh squeezed orange juice and chocolate croissants.
A handful of traders and brokers, whose normal breakfast fare might otherwise consist of a cigarette and a cup of coffee, enjoyed a taste of middle America while leaning against a chartreuse "Martha By Mail" truck parked near the exchange.
America's favorite homemaker was also on hand at the NYSE to ring the opening bell, flanked by some fall-like decor, including a few pumpkins and squash, adorning the balcony.
Despite the undeniable success of Stewart's marketing savvy, some analysts worry that should Stewart, 58, retire or become ill, the popularity of Martha Stewart Living as a company, as well as its sales, might fall.
"She maintains a huge amount of control in the company and she's a good item to have your money behind as long as she's able to administrate," Menlow said. "If she's incapacitated, I imagine many of the institutional investors will jump ship." >> |
