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Citigroup Downgrades eLong (LONG) to Sell

May 29, 2008 11:36 AM EDT
LONG Hot Sheet
Rating Summary:
    2 Buy, 0 Hold, 0 Sell

Rating Trend: Up Up

Today's Overall Ratings:
    Up: 16 | Down: 7 | New: 23
Citigroup downgrades eLong (Nasdaq: LONG) from Hold to Sell, after mixed 1Q results and weaker-than-expected 2Q outlook.

The firm cited, 1) Increasing headwinds from a softening domestic travel environment plus uncertain impact from the earthquakes; 2) Suboptimal execution as turnaround remains in progress; and 3) Elusive profitability as company continues to invest in improving customer service and fulfilment capability.

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