Stock Watch: Modem Media Flies High on Analyst Recommendation

Modem Media (Nasdaq: MMPT) gained 1 7/8 to 14 1/2 Thursday after First Union Securities began coverage of the stock with a buy rating and a 12-month price target of $30.

The firm is looking for the Internet advertiser to post a loss of 8 cents a share for the current fiscal year, followed by net income of 32 cents a share in 2001.

Modem Media saw first-quarter revenue rise 130 percent, powered by strong spending by new and existing customers.