Jupiter Media is a Buy (JUPM)

i started buying jupm a month ago around $6.22 per share. it quickly went to $8 and now back down to $6.67 (up .23 today). if you dont own it and want exposure to the net advertising oppty at a low ebitda multiple this is a good buy.

i like jupm because it is one of the few public net companies that is small enough to get acquired by an IAC or other large player looking for growth.  and at less than 6x this year’s projected $40m in ebitda, it’s cheap enough that i dont mind holding it either. one caveat is that a large part of its current cashflow comes from a digital stock photo business. alan meckler owns roughly 30% of the company which is good in that a proven entrepreneur is driving this (with recently announced acquisitions), but a potential negative that he may not be interested in selling either.

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