Brean Affirms Dangdang (DANG) at 'Hold'; Q2 Unimpressive, But 'Going Private' Takeover Still Pending

Brean Capital affirms E-Commerce China Dangdang (Nasdaq: DANG) with a Hold rating following Q2 results issued earlier Tuesday.

Analyst Fawne Jiang commented, Fundamentally, we remain cautious on DANG's overall outlook given 1) deceleration of its Marketplace business; 2) a declining gross margin outlook; and 3) operating margins under pressure from the stepped-up investment. On the non-fundamental side, on July 9, DANG announced that the company had received a non-binding proposal from Ms. Peggy Yu Yu, Chairwomen of the Board, and Mr. Guoqing Li, director and CEO of the company, proposing a “going private” transaction to acquire all outstanding ordinary shares of DANG at a price of $7.812/ADS in cash.

For an analyst ratings summary and ratings history on E-Commerce China Dangdang click here. For more ratings news on E-Commerce China Dangdang click here.

You May Also Be Interested In

• IBM tumbles on soft Q1 revenue; announces HashiCorp $6.4bn acquisition
• Prosperity Bancshares (PB) PT Raised to $76 at Citi, 'credit risks are limited and feel comfortable recommending the shares as a Buy at today’s levels'
• Stride Inc. (LRN) PT Raised to $73 at BMO Capital