Shares of Multex.com (Nasdaq: MLTX), an online investment research network that just went public two weeks ago, sizzled on Wall Street on Wednesday, climbing 53 percent after the company announced an exclusive partnership with America Online (NYSE:AOL).
Multex.com, which provides free and premium research for institutional and premium investors, announced that it has become the exclusive anchor tenant providing brokerage research for AOL’s personal finance channel. Multex.com is also being featured on Compuserve, which AOL owns. Financial terms were not revealed. Multex stock closed up 21-3/4 to 62-1/2 on Wednesday after the news.
Multex.com first joined the personal finance channel as an anchor tenant last November, when it launched the Multex Investor Network, a service targeted at individual investors that now has 235,000 members.
Many Prefer Online Research
“More and more individuals are taking control of their personal investments, and as recent research has shown, that is surely due to the fact that the interactive world has given them easy access to the kind of detailed, quality investment research that used to be available only to financial professionals,” said Jonathan Sacks, senior vice president and general manager at AOL.
In fact, the 1998 AOL/Roper Starch CyberStudy found that 89 percent of the online users polled preferred online stock research over traditional research.
Multex.com provides online access to more than 1,000,000 research reports on more than 15,000 companies, published by more than 400 investment banks. More than 600,000 investors, including mutual fund managers and brokers are using Multex.com’s services.
The company went public at $14 a share on March 17th. Multex.com stock climbed 140 percent, closing up 19-5/8 on its first day of trading.