Stock of the Day

My stock of the day is Jupitermedia (JUPM).

This stock broke out on huge volume in early may, and quickly ran up to $20. It has spent the last 8 weeks consolidating those gains, and now looks poised to break out.

Other internet names such as YHOO and GOOG are already breaking out, and I expect ancillary plays like JUPM to play catch-up.

The company has excellent growth, and the stock is not expensive at 20x fwd. estimates. It also has considerable short interest (13% of float), which could add fuel to the fire. If this stock can break back above that $20 level, I think it could have a nice run.

long JUPM