The last few months have been tough for America Online (Nasdaq: AOL) stock, which is still well off its high of 175-1/2. Some analysts view the recent sell of as a buying opportunity. On Wednesday, many investors agreed.
Shares of AOL climbed 7-3/8 to close at 92-3/8 on Wednesday, a gain of nearly 8.7 percent. Earlier on Wednesday, Lehman Brothers reiterated its buy rating on AOL. Lehman Brothers has a $200 price target for AOL.
AOL is a clear market leader that is profitable and dependable, which differentiates it from Amazon.com, which is nowhere close to profitability and eBay, which has been prone to extended downtime recently. Of all the biggest Internet plays, AOL and Yahoo! still look like the most solid.