Although their stocks have been on the outs since the tech bubble burst four years ago, a new generation of Internet company stocks is gaining popularity.
"All of us took more risks [in the late 1990s] than we should have," said Ryan Jacob, portfolio manager of the
This new optimism is based on the fact that private firms are once again pouring money into Internet-related companies, which means a slew of hot IPOs could soon follow.
"Finally, venture capital firms feel like they can make money again on these companies," said Michael Greeley, a general partner at
And there's money to be made.
"I have found a couple of Internet companies I like," she said. "But I remain very wary of the space; I am extremely selective; and I want to see profits in these companies."
As Killian suggested, some companies in the sector still behave like dot.coms did in the late 1990s. For instance,
On the whole, however, Wall Street and venture capital seems to have learned its lessons.
"I think average investors are still very cautious about the Internet," Greeley added. "They want to see companies of a certain size and maturity before they invest. I don't think there will be a bubble again."
The staff of Money Management Executive ("MME") has prepared these capsule summaries based on reports published by the news sources to which they are attributed. Those news sources are not associated with MME, and have not prepared, sponsored, endorsed, or approved these summaries.
