Top of the Market
A lot of people are looking around for an explanation of why MarketWatch has made the decision to sell. MarketWatch may be spinning ideas about synergies or deeper penetration. But we believe market timing is the motivator. The online ad market is feeling the juice these days and MarketWatch CEO Larry Kramer must believe now is the time for silly money.
Indeed reports are that MarketWatch has seen bids from Viacom, Pearson, Dow Jones & Co, New York Times and Yahoo Inc. MarketWatch, during its just-concluded third quarter of 2004, earned $950K, about triple the profit from the year before with sales totaling $19.8M, up 71% from last year. Nice numbers for sure, but do they justify the $400M that MarketWatch expects to take in?