Goldman Sachs Cuts Target on SINA (SINA) On Weak Q4 and Outlook
Tweet
Share
E-mailGet Alerts SINA Hot Sheet
Price: $43.26 --0%
Rating Summary:
9 Buy, 14 Hold, 2 Sell
Rating Trend: = Flat
Today's Overall Ratings:
Up: 13 | Down: 14 | New: 11
Rating Summary:
9 Buy, 14 Hold, 2 Sell
Rating Trend: = Flat
Today's Overall Ratings:
Up: 13 | Down: 14 | New: 11
Join SI Premium – FREE
Goldman Sachs cut its price target on SINA Corporation (NASDAQ: SINA) from $84 to $70 following lower than expected Q1 results and Q1 outlook.
The firm highlighted weak 1Q ad outlook (revs +9% yoy) attributed especially to
declining yoy spend by autos (30%+ of revs), e-commerce, Weibo users slowdown, plans to step up Weibo monetization this year and US$160 million in Weibo-related costs in 2012.
"While Sina’s ad outlook disappointed, we believe the significance could be muted by cyclical factors and category mix, though lower portal profits reduces valuation support," the firm comments. "We think greater focus will be on Weibo advertiser uptake when widespread monetization starts in 2Q, as Weibo is incurring material, growing ongoing costs."
Goldman lowered 2012E-2014E EPS by 25%-56% on lower ad revenues and higher opex.
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 $62.95 yesterday.
The firm highlighted weak 1Q ad outlook (revs +9% yoy) attributed especially to
declining yoy spend by autos (30%+ of revs), e-commerce, Weibo users slowdown, plans to step up Weibo monetization this year and US$160 million in Weibo-related costs in 2012.
"While Sina’s ad outlook disappointed, we believe the significance could be muted by cyclical factors and category mix, though lower portal profits reduces valuation support," the firm comments. "We think greater focus will be on Weibo advertiser uptake when widespread monetization starts in 2Q, as Weibo is incurring material, growing ongoing costs."
Goldman lowered 2012E-2014E EPS by 25%-56% on lower ad revenues and higher opex.
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 $62.95 yesterday.
Serious News for Serious Traders! Try StreetInsider.com Premium Free!
You May Also Be Interested In
- Fiserv (FISV) PT Lowered to $60 at Freedom Broker
- Honasa Consumer Ltd (HONASA:IN) PT Raised to INR720 at ICICI Securities
- New Street Research Upgrades Micron Technology (MU) to Buy
Create E-mail Alert Related Categories
Analyst Comments, Analyst EPS Change, Analyst EPS View, Analyst PT ChangeRelated Entities
Goldman SachsSign up for StreetInsider Free!
Receive full access to all new and archived articles, unlimited portfolio tracking, e-mail alerts, custom newswires and RSS feeds - and more!
