Newsflash: “Internet boom is under way”

Oye, why do people still quote Mary Meeker? Granted, I’m about to do same, but I’m not today’s Wall Street Journal, and at least I have the decency to lampoon the former Queen of the Net.

Anyway, here is Mary-Mary of Morgan Stanley opining how the dot-coms grow in an apparently entirely unironic story titled “Internet boom is under way”:

The Morgan Stanley analyst, well known for her bullish and influential calls on Internet stocks during the late ’90s craze, said the predicted boom is under way.

“The enthusiasm was well placed, it just got ahead of itself in many respects,” Ms. Meeker said, speaking at the Interactive Local Media 2004 conference in Jersey City, N.J., Friday. “As we have said for a long time, from a wealth-creation standpoint, we believe we lived through a boomlet, followed by a bust, followed by a boom.”

Unbelievable. The WSJ’s reporter quotes this stuff straight up, and while the writer mentions that Meeker made, you know, some “bullish and influential” calls on Internet stocks during the late ’90s, she doesn’t have it right: Meeker made “bullish and influential and wildly wrong” calls on Internet stocks.

Recall, this is the same starry-eyed analyst who wouldn’t downgrade Priceline all the way down from $163 to single digits. This is the same person who wouldn’t put a Sell on any of her stocks, despite her collection of eleven doomed dot-coms having lost 83% of their value. She repeatedly and wrongly called the dot-com collapse’s bottom, only to have stocks fall further. She is a money-burning furnace.

And yet, Mary is back in the press again. Apparently the rise of stocks like Ebay and Amazon (and Google, which she covers) has made her palatable again, as if her having survived to cover these stocks at higher levels is somehow causally related to their being at higher levels.


  1. PK – I’ll tell you why they still quote Mary – the bulls still want to believe. They still want to believe that networks without business models will spin gold. They still want to believe the bear of 2000-2002 is as bad as it can get. Deep down they want 1999 back.