Wall Street "wasn't kind this week to the International
Speedway Corporation [ISC], the parent company of NASCAR,"
according to ESPN2's Matt Yocum on last night's "RPM
2Night." Yocum noted that from a Monday close of $43 a
share, shares of ISC "plummeted to" $33.50 a share, before
closing Tuesday at $34.50. Yesterday, shares were down
another 11%, to close at $30.50. Shares of ISC are down 29%
since Monday's close at $43.00. Yocum: "Stock market
analysts cite the drop due to recent litigation and settling
a price fixing lawsuit against the company's merchandising
subsidiary, Americrown. ISC is confident on a rebound,
saying that track development projects in Kansas City and
Joliet, Illinois, remain on schedule and on budget for the
spring of 2001" ("RPM 2Night," ESPN2, 7/12). BRIDGE NEWS'
Jennifer Allen wrote the stock selloff has some "worried if
NASCAR's popularity has peaked." A.G. Edwards analyst Tim
Conder: "That's why the stock is reacting so violently.
People are really questioning the long-term growth rate of
NASCAR, and pricing pressure." Allen: "If ISC's shares are
a barometer for NASCAR, the sell-off says only that
expectations were too high, not that the wheels are coming
off." Univ. of OR's Warsaw Sports Marketing Center Dir Rick
Burton said, "I don't think they've peaked as a property.
But one thing they have to look at is the elasticity of the
price [of tickets]. ... NASCAR is starting to show an
elasticity of demand" (BRIDGE NEWS, 7/12). In a warning on
future earnings Tuesday, ISC President James France said,
"For the remainder of the year, advance ticket sales are
ahead for some events and behind for others." He said
ticket demand "continues to grow, though not as quickly as
in the past" (DAYTONA BEACH NEWS-JOURNAL, 7/12).
