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Technology Stocks : CMGI What is the latest news on this stock? -- Ignore unavailable to you. Want to Upgrade?

To: zx who wrote (5330)	3/8/1999 6:43:00 PM
From: keta	Respond to of 19700

BBRS Reiterates its Positive Outlook on CMGI (3/8) BBRS Reiterates its Positive Outlook on CMGI (3/8) iionline.com Individual Investor Online Analysis Tell us what you think in CMGI's Board. Shares of CMGI shot up more than 30%, to $200 today as investors grow increasingly optimistic about the IPO prospects of the company's private holdings. This price action comes as no surprise for some industry experts. Keith Benjamin, an analyst with BancBoston Robertson Stephens, recently reiterated his belief that the stock is bound to move to the higher ground. According to Benjamin, CMGI's visibility should increase in the near future as the company is getting ready to announce its operating results for the second quarter on March 11 and will be hosting an "annual summit meeting" in April. Taking the longer-term view, Mr. Benjamin sees continued strength in the stock price. "[BBRS] expects … pattern of thoughtful venture investing and successful liquidation of investments will fuel consistent increases in the company's asset value over time." Mr. Benjamin admits that the theoretical asset value of CMGI's stock is $43. However, "When [BBRS] take a more optimistic stance and gives every company in the portfolio a valuation that reflects a successful public stock as much as two years out, [BBRS] estimates CMGI stock could be worth $150," says Benjamin in his report. "… the stock will continue to trade at some substantial premium to the current asset value, just like shares of Berkshire Hathaway." Separately, last week CMGI announced the purchase of Activerse, an Austin, Texas-based provider of instant-messaging technology. We believe that this acquisition can be considered one of the most significant ones that CMGI made in recent months and might have far reaching positive implications for the company. Instant messaging has already emerged as one of the killer applications on the Internet. Suffice it to say that ICQ, one of the leading providers of the technology and a division of America Online (NYSE:AOL), has seen its international audience skyrocketing to nearly 30 million users during the last couple of years. Within the instant-messaging space, Activerse may have a competitive advantage over ICQ. The company's technology is based on Internet open standards such as Java and HTML. While ICQ controls its proprietary programming source code, Activerse licenses its Ding! software to individual communities (currently these are primarily corporate customers) for installations on their servers. As a result, these groups enjoy independence and do not have to participate in the potential revenue-sharing arrangements with a source code vendor. This principal difference might have a greater appeal for Activerse's Ding! solution down the road. We continue to stand behind CMGI even at these record valuation levels. The company is holding a firm hand on the pulse of the Internet. Thanks to management expertise in identifying winning technologies and business models, CMGI remains, in our opinion, the best vehicle for individual investors to participate in the growth of the Internet. We reiterate our Buy recommendation of CMGI. Analyst: Alex Yakirevich Updated on March 8 with CMGI at $200 Recommended on 11/16/98 at $36.97