Earlier this spring Web traffic counter comScore saw its stock tank after a back-and-forth with Google: comScore’s reporting had indicated that Google U.S. paid-click growth had slowed sharply, which led many analysts to conclude that Google would have a weak quarter. When it didn’t, traders took out their frustration on SCOR.
Yesterday, investors beat up comScore yet again following Google news — this time, the announcement of the search giant’s “Ad Planner” product, which looks like a direct comScore competitor. SCOR dropped 23% yesterday — its biggest one day drop since it went public last year.
Time to buy, says ThinkPanmure analyst William Morrison. Short version of his note: There are plenty of other free would-be competitors to comScore (Alexa, Compete, etc), but none have made a dent in comScore’s business, which is providing Web traffic data to ad agencies and media planners. And ad agencies are going to be particularly reluctant to use this tool, because it’s made by Google, and they’re pretty sure Google is trying to put them out of business.
Based on a casual survey of ad folks we’ve talked in the last few days, coupled with some unsolicited emails we’ve received from ad folks complaining about the tool before it came out, that sounds plausible to us.
See Also: Revealed! Google’s Secret Ad Planner