VeriSign stock prices falls 16.5% in one day

Snapnames reported that Verisign lost 600,000 domains in March alone, and have about 10m left.

http://www.thestreet.com/tech/ronnaabramson/10019230.html

 

today its down another 44%, ouch!

 

[simone]

Thought this might be of interest :


Internet advertising company Overture Services Inc. (OVER.O), which reported a sharp increase in earnings and sales, and announced a three-year extension of a key partnership with Yahoo! Inc. (YHOO.O), helped out the market with a gain of $8.42, or 32 percent to $34.05.

But computer security and Web address provider VeriSign Inc. slumped sharply after it reported a narrower net loss but missed revenue projections and said it would lay off 10 percent if its work force. The stock was further punished by a number of rating downgrades from major Wall Street brokerages, including Credit Suisse First Boston and J.P. Morgan.

It tumbled $7.94, or 43 percent to $10.30, ranking as the Nasdaq's most actively traded share and one of its biggest percentage losers.

 

Seems to be mainly due to transfers out/nonrenewals, whilst new registrations ahve actually grown slightly.

 

Originally posted by snoopy
Seems to be mainly due to transfers out/nonrenewals, whilst new registrations ahve actually grown slightly.

i made some posts in the past few day's regarding this.


*snoopy* are you also from Estonia? just checking..
thanks
Wanda

 

down to $9.89 today? Man, that stock has taken a serious beating.
I hate to say it, I'm a supporter of the domain name business, but I can't stand 'em, the damn stock can go to $2, I don't care.

 

This article is the main story on wired.com today, very negative about verisign and the domain market in general,

http://www.wired.com/news/business/0,1367,52151,00.html

 

[Nic]

"A lot of those impulse registrants aren't getting the same impulse come renewal time, their owners realizing that if they haven't sold or made use of the names by now, they probably never will."

got that right !

 

However, a lot of these registrants are unloading domains by keeping the cream of the crop from their 'collection'. The ones that drop are the unwanted ones.

I have 80 domains with GoDaddy. I won't transfer them all to Stargate when they are about to expire, I will (and have already) let some drop.

 

[Nic]

yes u are right.... esspecially netsol

 

Obviously, the biggest holding Registrar loses the most, since they have now a bad reputation and inflated prices.

 

[simone]

Overture stock down


Updated 8:13 AM ET May 1, 2002

NEW YORK (Reuters) - Internet advertising company Overture Services Inc. (OVER.O) sank more than 22 percent before the opening bell on Wednesday after ending its U.S. search distribution relationship with AOL Time Warner Inc.'s (AOL.N) America Online unit.

Overture dropped to $26.50 on Instinet after closing at $34.19 on Nasdaq. The company increased its forecast due to its strong first quarter results and the extension of its agreement with Yahoo! Inc. (YHOO.O). But the company also said it ended its U.S. search distribution relationship with AOL's America Online unit, including AOL, AOL.com, CompuServe and Netscape.