Friday, 7 December 2007

Buying some IACI (

One stock I've been involved in in the past, and has an interesting story around it, is IAC/InterActiveCorp (IACI). IACI is a company with a portfolio of internet stocks, including, and Ticketmaster. It said a month ago that it planned to split into 5 separate businesses to realize value, and also signed a 5-year deal with Google to show advertising on

2y Chart of IACI

With the whole business having a market cap of $8.1bn, even just growing such that at some point in the future it can compete with Google could be huge, as Google has a $224bn market cap. Add in the fact it's trying to make a go of it in China, and it seems that this rag-bag of 60 brands could indeed be worth substantially more than the current market cap. With a forward P/E of just 15.7, and shares 30% off the highs of this year, this looks like a decent entry point, and we'll wait for some more newsflow regarding the break-up into separate businesses. Buying just under $12k worth at 28.67.

What say you?


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