Priceline.com (Nasdaq: PCLN) and Webvan, Inc. (Nasdaq: WBVN) tumbled Wednesday after reports the stocks were downgraded at A.G. Edwards.
Priceline slid 1 11/32 to 5 7/16, and Webvan lost 1/16 to 1 13/16 after analyst Stephen Latz reportedly lowered his investment position rating on the e-tailers from maintain to reduce.
Priceline shares have yet to recover from a steady stream of bad news. After the company said third quarter revenue will suffer from slow sales of airline tickets, consumer complaints — as well as the closure of its WebHouse Club gas-and-grocery service and an investigation by the Connecticut Attorney General — have driven the shares far below their 52-week high of 104 1/4.
Priceline said it will intensify efforts to satisfy customers by revamping its Web site and feedback process.
Details of the plan will be provided November 2nd, when the company reports third quarter results.
As for Webvan, the Internet pure play recently acquired rival HomeGrocer.com. Webvan also announced earlier this week that it has leased a new distribution center in Nevada.