Oppenheimer Maintains a 'Perform' on Perfect World (PWRD); Range-Bound While Navigating Rough Patch
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Price: $114.63 +0.85%
Rating Summary:
7 Buy, 4 Hold, 0 Sell
Rating Trend: = Flat
Today's Overall Ratings:
Up: 12 | Down: 23 | New: 20
Rating Summary:
7 Buy, 4 Hold, 0 Sell
Rating Trend: = Flat
Today's Overall Ratings:
Up: 12 | Down: 23 | New: 20
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Oppenheimer maintains a 'Perform' on Perfect World (NASDAQ: PWRD).
Analyst, Andy Yueng, said, "PWRD reported in-line 2Q12 revenue, but earnings were below our and consensus estimates. Revenue declined y/y and q/q due mainly to lower user activity and monetization levels and the lack of new game or major expansion packs. Despite recent releases of expansion packs for Zhuxian, Chi Bi and Battle of Immortals, PWRD guided to flattish to a 5% q/q decline in revenue in 3Q12, missing our and consensus estimates. Given R&D investments and marketing expenses related to ChinaJoy and game releases, we expect margins to remain constrained in 2H12. While valuation appears attractive at current levels, the stock is likely to remain range-bound in the near term as PWRD navigates through a difficult patch in its product life-cycle."
For an analyst ratings summary and ratings history on Perfect World click here. For more ratings news on Perfect World click here.
Shares of Perfect World closed at $10.52 yesterday.
Analyst, Andy Yueng, said, "PWRD reported in-line 2Q12 revenue, but earnings were below our and consensus estimates. Revenue declined y/y and q/q due mainly to lower user activity and monetization levels and the lack of new game or major expansion packs. Despite recent releases of expansion packs for Zhuxian, Chi Bi and Battle of Immortals, PWRD guided to flattish to a 5% q/q decline in revenue in 3Q12, missing our and consensus estimates. Given R&D investments and marketing expenses related to ChinaJoy and game releases, we expect margins to remain constrained in 2H12. While valuation appears attractive at current levels, the stock is likely to remain range-bound in the near term as PWRD navigates through a difficult patch in its product life-cycle."
For an analyst ratings summary and ratings history on Perfect World click here. For more ratings news on Perfect World click here.
Shares of Perfect World closed at $10.52 yesterday.
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