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Renren Inc. (RENN)

- NYSE
  • Tue, Mar. 24, 3:18 PM
    • Today's notable tech gainers include chip packaging/testing firm ChipMOS (IMOS +3.7%), and headphone maker Skullcandy (SKUL +3.9%), mobile banking tech provider Mitek (MITK +6.5%), search toolbar/mobile ad platform provider Perion (PERI +8.8%), Chinese social network/game provider Renren (RENN +4.8%), peripherals giant Logitech (LOGI +4%), security IP licensing firm Finjan (FNJN +13.7%).
    • Notable decliners include e-commerce services firm ChannelAdvisor (ECOM -5.6%), program guide/content protection IP firm Rovi (ROVI -4.3%), telecom equipment vendor Calix (CALX -3.5%), and Fibre Channel/Ehternet switch vendor Brocade (BRCD -3.4%).
    • Likely helping Finjan: An H.C. Wainwright note stating the company has committed $5M to a Jerusalem Venture Partners (JVP) cybersecurity fund; Alibaba announced yesterday it's investing in JVP. Logitech announced a $100 wireless mouse today. Skullcandy is once more within striking distance of a 52-week high of $11.83.
    • Previously covered: Twitter, solar stocks, Sonus/AudioCodes/BroadSoft, Neonode, Arista, Taser, Ciena, Zagg, Gogo, Digital Ally
    | 2 Comments
  • Fri, Jan. 2, 12:32 PM
    • After falling 18% in 2014 amid ongoing revenue and traffic losses, Renren (NYSE:RENN) is starting 2015 off on a strong note. 392K shares have been traded vs. a 3-month average of 762K.
    • The Chinese social network owner/game developer is two days removed from announcing CFO Hui Huang and director Stephen Murphy are resigning. Huang is being replaced by finance VP Ashlew Law Kwok Wai.
    | Comment!
  • Dec. 1, 2014, 10:38 AM
    • Chinese Internet  and telecom names are among the biggest tech decliners as the Nasdaq registers a 0.9% drop. A soft November PMI print isn't helping.
    • Giants Alibaba (BABA -4.3%) and Baidu (BIDU -2.8%) are among the casualties. As is Qunar (QUNR -5.8%), which reports after the bell.
    • Other Internet decliners: BITA -12%. QIHU -4.4%. CTRP -4.3%SFUN -7.2%. LEJU -7.5%. RENN -6.3%. SINA -3.8%. WB -3%. YY -3.9%. VIPS -3.8%. SOHU -3.5%. MOBI -4.3%. CMGE -8.6%.
    • Telecom decliners: CHL -3.6%. CHU -3.9%. CHA -4%.
    • ETFs: KWEB, CQQQ, QQQC
    | 5 Comments
  • Nov. 20, 2014, 7:07 PM
    • Renren (NYSE:RENN) expects Q4 revenue of $15M-$17M, down 44.6%-51.1% Y/Y and well below a $21.3M consensus.
    • Q3 online ad revenue -40.3% Y/Y to $8.8M; value-added services -19.6% to $4.7M; games -60.5% to $8.1M.
    • Sales/marketing spend -22.5% to $12M; R&D -36.3% to $12.7M; G&A +3.5% to $13.8M.
    • Renren ended Q3 with $740M in cash and term deposits, and no debt. Due to the company's recent performance, its market cap is currently $743M.
    • Q3 results, PR
    | 1 Comment
  • Sep. 15, 2014, 1:21 PM
    • Maybe looking to raise cash with which to buy Alibaba (Pending:BABA) this week, investors are dumping a wide swath of other Chinese internet names.
    • Qihoo (QIHU -2.6%), Sohu.com (SOHU -5.3%), Baidu (BIDU -3.8%), Sina (SINA -4.9%), Renren (RENN -4%), Weibo (WB -11.3%), YY (YY -7.3%).
    • Previously: Alibaba to boost IPO size
    | 21 Comments
  • Aug. 26, 2014, 3:54 PM
    • With investors having already digested a lot of bad news over the last year, Renren's (RENN +2.4%) Q2 revenue beat is overshadowing its light Q3 guidance: Revenue of $19M-$21M vs. a $22.9M consensus.
    • Gaming revenue fell 56.6% Y/Y in Q2 to $9.9M, ad revenue 23.9% to $11.7M, and Internet value-added service revenue 35% to $3.4M. Monthly unique logins fell to 44M in June from 51M in March and 54M a year ago.
    • Cost-cutting has been aggressive: Sales/marketing spend -37.3% Y/Y to $11.6M, and R&D -33.9% to $13.4M. G&A +7.6% to $14M.
    • Operating loss was $30.4M. An $86M gain on the sale of short-term investments allowed Renren to report a profit. A new $100M buyback has been authorized, following the expiration of a program that was used to repurchase $69.4M worth of shares.
    • Q2 results, PR
    | Comment!
  • Mar. 19, 2014, 12:46 PM
    | 1 Comment
  • Mar. 19, 2014, 12:13 PM
    • Renren (RENN -11.3%) expects Q1 revenue of $23M-$25M, soundly below a $30.4M consensus and good for a 40%-45% Y/Y drop.
    • Online game revenue fell 39.6% in Q4 to $15.6M after dropping 17% in Q3. Ad revenue, pressured by share losses to social media rivals such as Tencent and Sina, fell 17.9% to $10.2M after falling 11% in Q3. Monthly unique logins fell to 45M in December from 50M in September and 56M a year earlier.
    • A 24.9% Y/Y drop in R&D spend to $17.8M helped EPS beat estimates. Sales/marketing spend rose 38.8% to $19.6M, and G&A spend 35.3% to $14.4M.
    • 4.9M shares were repurchased during the quarter.
    • Renren also fell hard (I, II) following its Q2 and Q3 reports.
    • Q4 results, PR
    | 1 Comment
  • Mar. 19, 2014, 9:10 AM
    | Comment!
  • Mar. 10, 2014, 3:57 PM
    • Chinese Internet and solar names, many of them among the standouts of the 2013/2014 tech rally, are heading into the close with steep losses after the Chinese government reported exports fell 18.1% Y/Y in February (much worse than expected).
    • Internet decliners: WUBA -10.7%. YOKU -7.3%. ATHM -7.2%. QUNR -6.4%. NQ -6%. RENN -5.2%. CTRP -5.2%. YY -4.4%. WBAI -4.4%. KONG -5.5%.
    • Solar decliners: JKS -6.3%. YGE -5.8%. TSL -6.7%. CSUN -4.9%. CSIQ -4.5%. DQ -4.2%. HSOL -4.5%.
    • Solar ETFs: KWT, TAN
    | 7 Comments
  • Feb. 28, 2014, 2:16 PM
    • Over the last 48 hours, Baidu, Dangdang, Youku, and 58.com have all posted Q4 beats and provided strong Q1 guidance. The numbers are giving a lift to a slew of Chinese Internet stocks.
    • Notable gainers: SOHU +6.5%. PWRD +13.2%. VIPS +4.3%. YY +2.2%. RENN +3.8%. GOMO +5.5%.
    • In Sohu's case, the rumor mill might also be helping out. A source tells Marbridge Consulting Sohu CEO Charles Zhang and Tencent (TCEHY +1.2%) CEO Pony Ma have talked about merging their companies' online video units. Both Sohu and Tencent trail market leaders Youku and Baidu in China's burgeoning online video market.
    • Dangdang (DANG +8.6%) is adding to yesterday's big post-earnings gains after Oppenheimer hiked its PT to $15. The firm likes Dangdang's improved efficiency and partnerships with e-commerce rivals (inc. Alibaba's Tmall), and the fact mobile accounted for 13% of Q4 orders.
    | 2 Comments
  • Feb. 18, 2014, 4:03 PM
    • On a good day for many tech momentum plays, solar and Chinese Internet stocks led the way.
    • Solar names could be benefiting from Chinese government remarks suggesting Beijing remains open to trade talks to end its ongoing solar import dispute with the U.S. The comments come after the ITC added Chinese solar panels made with Taiwanese cells to its list of Chinese panels covered by import duties.
    • Also: SunEdison (SUNE +6.6%) has filed for an IPO for its solar project business, a move that could entice other companies with major solar project ops to do the same.
    • Solar gainers: FSLR +6.9%. SCTY +8%. JASO +12.6%. DQ +9.2%. CSUN +8.1%. YGE +5.5%. JKS +5.3%.
    • Chinese Web gainers: CTRP +11.5%. CCIH +16.8%. RENN +11%. YOKU +6.1%. QIHU +6.9%. WUBA +10.6%. WBAI +7.9%. GOMO +9.1%. SOHU +5.6%.
    • Solar ETFs: KWT, TAN
    | 1 Comment
  • Jan. 27, 2014, 12:44 PM
    • U.S. and Chinese Internet stocks are adding to last week's big losses, as investors continue taking profits following major 2013 gains. Chinese stocks were hit last week by an emerging markets selloff, weak PMI data, and an SEC ban (pending appeal) on audits from the Chinese units of big-4 U.S. accounting firms.
    • Twitter (TWTR -8.2%), the company bears are most likely to point to when arguing a new Internet stock bubble has formed, is headlining the U.S. decliners. Shares are still up 25% from their post-IPO opening trade of $45.10.
    • Other U.S. decliners: GOOG -3.1%. FB -2.9%. YELP -5.3%. Z -5.1%. LNKD -4.3%. P -3.2%. ANGI -4.1%. ZNGA -3.1%. GRPN -3.1%.
    • Chinese decliners: BIDU -2.9%. CCIH -19%. BITA -14.6%. CTRP -7.4%. NQ -7.9%. LONG -9.4%. DANG -7.3%. SOHU -4.3%. GOMO -5.8%. SINA -3.3%. QUNR -7.7%. SFUN -5.4%. WBAI -7.5%. RENN -5%.
    • Internet/social media ETFs: FDN, PNQI, SOCL
    | 16 Comments
  • Jan. 24, 2014, 10:59 AM
    • Five months after Baidu (BIDU -0.4%) acquired a 59% stake in Chinese daily deals/group-buying site Nuomi from Renren (RENN +2.2%) for $160M, Renren says it has reached a deal to sell its remaining stake in Nuomi to Baidu. Terms are undisclosed. (PR)
    • Following Baidu's initial purchase, Nuomi's CEO wrote a memo stating his company is looking to eventually go public. The company has been estimated to hold an 11.6% share of the Chinese group-buying market (#4 overall).
    • Nuomi is just one of several acquisitions Baidu has made over the last two years to grow the reach of its Web/mobile empire.
    | 3 Comments
  • Nov. 29, 2013, 11:31 AM
    | 1 Comment
  • Nov. 29, 2013, 11:18 AM
    • Jefferies' Cynthia Meng has cut Renren (RENN -10.4%) to Underperform after the company provided dispiriting Q4 guidance to go with mixed Q3 results.
    • Meng doesn't see Renren's gaming ops (saw a 16.9% rev. drop in Q3, and will likely witness a bigger drop in Q4) rebounding in the near-term, given intense competition from Tencent and other firms with strong mobile game distribution. Renren has said it plans to focus on a smaller number of "high-quality" games" going forward.
    • Meng also questions Renren's ability to transition from being a social networking platform to a social messaging platform (the company just launched a mobile messaging app), given the popularity of incumbents such as Tencent's WeChat, and notes iResearch estimates Renren has respectively seen 55% and 38% Y/Y drops in monthly time spent and daily active users.
    • On the CC (transcript), Renren stated its ad sales (-11% Y/Y in Q3) were pressured by both the mobile transition and social networking competition, and that it plans to launch "a series of marketing campaigns" to promote its messaging app. The company also noted only ~10% of its Q4 ad revenue is expected to come from mobile.
    | Comment!
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Company Description
Renren Inc is engaged in the operation of social networking internet platform, as well as provision of online advertising services and internet value-added services, including online gaming operations, online talent show and other IVAS, among others.