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Analysis: After Web stocks boom, investors wary but rout unlikely

29
Dec
2013

By Alexei Oreskovic and Rodrigo Campos SAN FRANCISCO/NEW YORK (Reuters) – For investors in internet stocks, it was a banner year: shares of many companies doubled as revenue climbed and on forecasts for rip-roaring growth in earnings. While there is the potential for a decline in some Web company stock prices that are out of line with their earnings outlook, they say there is little chance of a bloody retreat. Most importantly, this years stars, such as Facebook and Netflix, actually make money. Web-based advertising has grown into a mature, viable business, and computing speeds support video and sophisticated gaming.

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