More interesting stuff:
PALO ALTO, Calif., July 20 (Reuters) - Merrill Lynch
analyst Henry Blodget Thursday downgraded ExciteAtHome Corp.
<ATHM.O> to "accumulate" from "buy," citing the company's
failure to meet second quarter subscriber growth estimates.
Blodget wrote in a research report that the company missed subscriber growth estimates by 100,000, or about 25 percent of Merrill's forecast. He also noted that the company's page views were down from the first quarter.
"This quarter's performance is particularly troubling given the strategy shift announced after Q1, which called for sacrificing near-term profit to invest heavily in broadband subscriber growth and international," Blodget wrote.
He also noted that the company now needs to grow its
subscriber base at a rate double what it has achieved in any
prior quarter, in order to meet its year-end target of 3
million subscribers.
"The company (or pieces of it) remain attractive for
acquisition, but we no longer have confidence in organic
visibility or growth," he wrote.
ExciteAtHome shares were down 1-3/8 in late trade to
17-5/8.
461-3400))
REUTERS
Rtr 20:22 07-20-00
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