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Salesforce Commerce Solution Guide

Stock Watch: Stamps.com Rockets After Office Depot Announcement

By Andy Wang
Jul 20, 1999 12:00 AM PT

The stocks of most Internet companies struggled on Monday, but shares of online postage company Stamps.com (Nasdaq: STMP) continued their remarkable run. Stamps.com stock rocketed 5-9/16 to 46-3/16 after Office Depot (NYSE: ODP) announced that it had selected Stamps.com as its premier Internet postage provider. Stamps.com stock traded as high as $51-1/14 on Monday.

Stamps.com, which went public on June 25 at $11, has been on a tear recently. Last Thursday, shares Stamps.com soared 12-5/8 to 45-3/8 on news that the U.S. Postal Service is working with Stamps.com and E-Stamp to create electronic postage. After giving back some of Thursday's gain on Friday, Stamps.com was back on a roll on Monday.

What makes Monday's gain interesting, however, is that Stamps.com actually has had a strategic partnership with Office Depot since February. Stamps.com reported this in its S-1 when it filed for its IPO. You have to wonder how many of the traders who helped bump up Stamps.com stock on Monday were aware of this.

Salesforce Commerce Solution Guide
Has technology made transportation more or less safe?
Traveling by all modes of transportation has become riskier with each passing year.
In general, transportation safety has been improving steadily, despite some failures.
Some modes of transportation have been improving while others have become less safe.
We may have reached a tipping point where more tech means less safety.
Don't blame the tech -- greedy companies haven't done adequate testing.
Government regulators have not been playing a strong enough oversight role.
Salesforce Commerce Solution Guide
Salesforce Commerce Solution Guide