Goldman Sachs Maintains a 'Neutral' on SINA Corporation (SINA); Q2 Review: Another Year of Investment?
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Price: $59.57 +1.29%
Rating Summary:
19 Buy, 3 Hold, 4 Sell
Rating Trend:
Down
Today's Overall Ratings:
Up: 11 | Down: 35 | New: 23
Rating Summary:
19 Buy, 3 Hold, 4 Sell
Rating Trend:
Down
Today's Overall Ratings:
Up: 11 | Down: 35 | New: 23
Trade SINA Now!
Goldman Sachs maintains a 'Neutral' on SINA Corporation (NASDAQ: SINA) price target of $60.00.
Analyst, Piyush Mubayi, said, "Takeaways: (1) Ad revenues grew 12% yoy, mainly on strong FMCG and internet/telecom categories offsetting auto/financial weakness. (2) Weibo generated 10% of the advertising revenues in 2Q, following the launch of its brand ad system in April. Management said that 75%-80% of Weibo advertisers also advertise on the Sina portal, suggesting substantial cannibalization between the two properties. Weibo-related cost was US$38mn in 2Q, vs. our estimated revenue of US$10mn. (3) Gross margin of 52.0% contracted by 4.3pp yoy, on higher labor, infrastructure, and content expense. As expected, Sina was loss-making on the operating profit level."
For an analyst ratings summary and ratings history on SINA Corporation click here. For more ratings news on SINA Corporation click here.
Shares of SINA Corporation closed at $50.90 yesterday, with a 52 week range of $43.12-$114.89.
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Analyst, Piyush Mubayi, said, "Takeaways: (1) Ad revenues grew 12% yoy, mainly on strong FMCG and internet/telecom categories offsetting auto/financial weakness. (2) Weibo generated 10% of the advertising revenues in 2Q, following the launch of its brand ad system in April. Management said that 75%-80% of Weibo advertisers also advertise on the Sina portal, suggesting substantial cannibalization between the two properties. Weibo-related cost was US$38mn in 2Q, vs. our estimated revenue of US$10mn. (3) Gross margin of 52.0% contracted by 4.3pp yoy, on higher labor, infrastructure, and content expense. As expected, Sina was loss-making on the operating profit level."
For an analyst ratings summary and ratings history on SINA Corporation click here. For more ratings news on SINA Corporation click here.
Shares of SINA Corporation closed at $50.90 yesterday, with a 52 week range of $43.12-$114.89.
Join StreetInsider.com FREE and get immediately alerted when news breaks on your stocks and other market items - JOIN NOW
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