TheStreet.com said yesterday it was "evaluating opportunities" to link with other financial news providers after warning that its summer relaunch had flopped.

The online information company admitted advertising revenue had been "disappointing". Deals to distribute its news to other websites had been delayed due to "technical factors". Its shares dived 20% in early trading to just under $5.

Chief executive Tom Clarke said: "We are evaluating business opportunities out there. There are a lot of players in this business. Consolidation is a natural evolution."

Known for its quirky take on Wall Street events, TheStreet.com has a loyal following among private investors. In an attempt to widen its appeal, the firm abolished charges for access to its signature website over the summer.

Mr Clarke conceded that the response had been "a shade below expectations" in terms of page impressions.

The number of "unique users" - individuals visiting the site at least once - has fallen slightly in the third quarter.

Under its new business model, TheStreet.com relies more heavily on advertisers for revenue.

Mr Clarke said: "The whole advertising market has been sluggish. I don't think it's unique to us."

It was "evident" that companies were spending more of their advertising budgets on-line but: "They're still determining what projects work and what don't."

TheStreet.com competes for attention with an ever-growing list of financial sites, many of which are backed by the firepower of large media organisations. Leading sites include FT.com, Bloomberg and CNN.

TheStreet.com had hoped to increase its profile by distributing its content to other websites. This has been a slow process. Mr Clarke said: "When you're dealing with other companies, their priori ties sometimes don't tie in with yours."

He insisted that the business as a whole was "still on track" despite the setbacks. The company's British offshoot, TheStreet.co.uk, was "doing great and exceeding all our expectations".

TheStreet.com was founded by Jim Cramer, a former hedge fund manager. Under the slogan "Ignore us at your own risk", it specialises in delivering news in an in-your-face style.

In a statement, TheStreet.com reiterated its commitment to achieving positive cashflow by the second half of next year.

The group has a cash pile of more than $88m.27