Internet Stocks: FBR Launches Coverage; Bullish on Google, eBay, ComScore; Neutral on Bankrate; Bearish on Yahoo
Heath Terry, the new Internet analyst at Friedman Billings Ramsey, has launched coverage of the sector this morning, setting Outperform ratings on Google (GOOG), eBay (EBAY) and ComScore (SCOR), while starting Bankrate (RATE) with a Market Perform rating, and setting Yahoo’s (YHOO) rating at Underperform.
“We believe that the sector offers strong fundamental growth, reasonable valuation, and considerable potential outperformance,” Terry writes. “As consumers continue to shift more of their time and spending online, advertisers are following. Although this trend has been going on for years, we believe that in the current economic environment, new business models and technologies, as well as advertisers’ success in the medium, are likely to accelerate this shift of ad dollars online.”