AOL closes Huffington Post deal; its stock hits all-time low

It appears to have been a great deal for Arianna and a very bad deal for AOL shareholders.

AOL's purchase of the Huffington Post closed Monday, and the same day, AOL's stock sank to its lowest price ever.

As noted by Business Insider's Chart of the Day, shares of AOL fell about 4%, or 79 cents, to $19.26 -- its lowest closing price so far. That was down about one-third from the one-year high it reached in April, Business Insider noted.

The decline in stock price may show a lack of investor confidence in Chief Executive Tim Armstrong's attempt to turn AOL around. Much of that plan is pinned on the combined vision of Armstong and Arianna Huffington, who is becoming president and editor in chief of a new Huffington Post Media Group inside AOL.

One of the many links to this story

It's strange how so many of the Liberals on here use the Huffington Post as their source of information. Credibility is going down even faster than the economy!

Anyone who is still invested in AOL deserves to lose their money. I don't think even the Huffington Post can pull AOL out of its tailspin.

The last valuation I saw on Huffington Post was $150 million. AOL's was around $5 BILLION dollars, but still 97% off its peak. Huffington's cash flow wouldn't put a dent in AOL's revenue stream.

If you are trying to paint this as the stock fell because of the Huffington Post acquisition, you're reaching. It's like United Airlines buying a local flight school.

AOL Return
as of March 08 2011
1 Month -6.49%
6 Month -13.94%
YTD -17.61%
1 Year -23.66%

Actually AOL is basically a virus when you install it on your computer. Can't figure out why anyone in this day and age still uses them...

AOL=Betamax

kresspin wrote: Anyone who is still invested in AOL deserves to lose their money. I don't think even the Huffington Post can pull AOL out of its tailspin.

The last valuation I saw on Huffington Post was $150 million. AOL's was around $5 BILLION dollars, but still 97% off its peak. Huffington wouldn't put a dent in AOL's revenue stream.

If you are trying to paint this as the stock fell because of the Huffington Post acquisition, you're reaching. It's like United Airlines buying a local flight school.

from the article listed above:

AOL, looking to capitalize on the success of the Huffington Post website and brand, is putting the majority of its online publishing properties under Huffington's control.

Nothing can stop AOL's slide.

RenegadeCJ wrote: Actually AOL is basically a virus when you install it on your computer. Can't figure out why anyone in this day and age still uses them...

Even my 85 year old Mom no longer uses AOL. I admit I used AOL a very long time ago, when it was a still a dial up BB type service. If I remember correctly my ID was Grady8.

If you are trying to paint this as the stock fell because of the Huffington Post acquisition, you're reaching. It's like United Airlines buying a local flight school.

Actually I was trying to say that putting two losers together doesn't make a winner!

Where are you getting the idea that Huffington Post is a loser?

It's ranked 120th in traffic 31st in the U.S.

I notice you quote FoxNews.com alot, which is ranked 217th in traffic and 45th in the U.S.