Silicon Investor (SI) -- The First Internet Community

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

Politics : Idea Of The Day -- Ignore unavailable to you. Want to Upgrade?

To: IQBAL LATIF who wrote (27623)	7/16/1999 7:29:00 PM
From: IQBAL LATIF	Read Replies (4) \| Respond to of 50167

MSFT is moving closer to creating a tracking stock for its Internet businesses. MSFT might create a separate stock for its Internet properties, the other reason for the rally. Microsoft Valued Above $500B By GEORGE TIBBITS SEATTLE (AP) -- Microsoft Corp. (Nasdaq:MSFT - news) became the first company to be worth more than half a trillion dollars Friday as the software company's stock price surged following a report that it might create a separate stock for its Internet properties. Microsoft's stock was up $5.06 1/4 to $99.43 3/4 a share in trading on the Nasdaq Stock Market. With more than 5.1 billion shares outstanding, that gave Microsoft a total market capitalization of about $507 billion. Microsoft's market value far outpaces the No. 2 company, General Electric, which was worth about $384 billion based on Friday's stock prices. The Wall Street Journal reported Friday that Microsoft, which will report its annual earnings Monday, is moving closer to creating a tracking stock for its Internet businesses to take advantage of the stock market's infatuation with the Internet. A tracking stock is designed to give investors the opportunity to focus on just one aspect of the company's business without creating a separate publicly traded company. The move would be a way to pay for Internet-related acquisitions and attract talented employees seeking the high valuations of Internet companies, the Journal said. Microsoft also received a boost when a federal court jury in Connecticut ruled it had not violated federal antitrust laws in its dealings with Bristol Technology Inc., a small software company. A company spokesman did not immediately return a telephone call to The Associated Press. Microsoft's MSN.com is one of the most-visited sites on the Web, and includes such services as Hotmail e-mail, the Expedia travel site and the CarPoint auto buying service Although critics assail Microsoft's take-no-prisoners competitiveness, investors have favored a company with large profit margins, rapidly growing sales and no debt. Microsoft's phenomenal rise has created countless millionaires and made company founders Bill Gates and Paul Allen two of the richest men on Earth. At current stock prices, Gates would be worth more than $100 billion, based on the more than 1 billion Microsoft shares he was listed as owning in a Feb. 11 proxy statement. Allen, listed as having more than 276 million shares, is worth more than $27 billion.