Top Mid-Cap Net Stocks

Despite the recent run-up in the group, these Internet market leaders remain attractive

By Scott Kessler

In less than a month (from April 4), the mid-cap Internet stock segment, as measured by Internet Index, has surged 56% vs. gain of 15% in S&P 500. S&P believes investors are buying shares on the hope that the worst is over for dot-com stocks. Moreover, survivors in this sector will come back stronger and wiser, with a new emphasis on operations, costs and profits, and reduced competition.

S&P's favorite mid-cap Internet market leaders, each of which is ranked 4 STARS (accumulate): Akamai Technologies (AKAM ), DoubleClick (DCLK ) and RealNetworks (RNWK ).

Kessler is Standard & Poor's Internet analyst

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