Shares of online travel agent Preview Travel are still trying to recover from May’s sell off in the Internet sector. However, the company, which has recently been mentioned as a possible takeover target that could fetch a big premium, continues to receive positive coverage.
Shares of Preview Travel were unchanged at 17-1/16 on Thursday, an overall down day for Wall Street. Earlier in the day, Preview Travel announced that it had been named the top Internet Travel Service by Gomez Advisors. In terms of Internet stocks, Preview Travel seems to offer a lot of value. Its market capitalization of $235.7 million is tiny compared to its $14.55 billion competitor Priceline.com (Nasdaq: PCLN). So what’s the problem?
Well, Wall Street might still be waiting to see what’s going to happen after the recent management shakeout at Preview Travel. The stock could stay grounded until a new CEO is hired, but it’s hard to imagine it staying grounded for long.