Thu, May 14, 4:31 PM
Wed, May 13, 5:35 PM
Mon, Apr. 27, 12:17 PM
- Chinese Internet stocks are adding to their big recent gains following a 2.7% overnight rally in Shanghai, as investor sentiment towards Chinese equities continues improving following a string of stimulus moves. Today's gains come with the Nasdaq (took out its 2000 highs on Friday) down 0.2%.
- Baidu (BIDU +3%) is among the winners. Others include Youku (YOKU +10.7%), Vipshop (VIPS +4.1%), Dangdang (DANG +6.7%), 58.com (WUBA +3%), E-House (EJ +3.7%), 500.com (WBAI +4.3%), Sina (SINA +4.1%), Bitauto (BITA +3.1%), Autohome (ATHM +2.4%), Qunar (QUNR +3.5%), Xunlei (XNET +5.7%), and Renren (RENN +2.3%).
- Baidu's gains come ahead of its Wednesday Q1 report. Vipshop and 58.com have made fresh highs; the latter is up 61% since the first report emerged of a deal (later confirmed) with rival Ganji.com. Youku is up 53% from an April 2 post-earnings low of $12.31, and 500.com is up 47% since the company suspended all online lottery sales in early April, while stating it will work with regulators to restart sales. Renren is up 31% from its March 30 close, possibly aided by enthusiasm for its large and growing portfolio of online lending investments.
- JD.com and Sky-mobi are rallying today with the help of bullish analyst notes. Perfect World has received a lift from an improved buyout offer.
- ETFs: KWEB, CQQQ, QQQC
Mon, Apr. 13, 11:39 AM
- The Chinese government has threatened to shut down SINA's portal unless it "improves censorship," state-owned Xinhua reports.
- The portal is declared by Internet regulator CAC to have "distorted news facts, violated morality and engaged in media hype." In a likely reference to Weibo's (NASDAQ:WB) microblogging platform, CAC adds "censorship of user accounts has been poor."
- Sina and Weibo have often sparked the ire of government censors in recent years. Weibo (along with peers) began requiring users to register with their real names a couple years ago, following government pressure.
Wed, Apr. 8, 10:58 AM
- Following a big overnight rally in Hong Kong (followed a 3-day holiday during which Shanghai rallied), beaten-down Chinese Internet and mobile stocks have soared in U.S. trading.
- The biggest gainers include many names that are far below their 2014 highs: The group includes Qihoo (QIHU +10.5%), YY (YY +14.9%), Taomee (TAOM +14.3%), Sina (SINA +8.7%), and Weibo (WB +12.1%). Mobile game publishers Sky-mobi (MOBI +12.6%), China Mobile Games (CMGE +8%), and iDreamSky (DSKY +13.4%) are also sharply higher, as are online real estate plays SouFun (SFUN +13.1%), E-House (EJ +6.1%), and Leju (LEJU +9.8%).
- Giants Alibaba (BABA +3.4%) and Baidu (BIDU +4.1%) aren't being left out. Neither are Youku (YOKU +7.5%), 21Vianet (VNET +7.4%), Momo (MOMO +6.8%), Sohu (SOHU +7.7%), Changyou (CYOU +4.5%), Dangdang (DANG +7.3%), Vipshop (VIPS +4.8%), JD.com (JD +3.9%), Jumei (JMEI +6.6%), Sungy Mobile (GOMO +5.8%), China Techfaith (CNTF +7.1%), and KongZhong (KZ +5.5%).
- Alibaba has proposed an asset injection into its money-losing Alibaba Pictures (+36% in Hong Kong) film arm. Sky-mobi has seen Rosenblatt (Buy) hike its target to $11, while noting many Chinese mobile game developers have been bought out; it thinks Sky-mobi's investments in developers could be worth $140M. NetEase has been upgraded by CICC Research.
- Over in Hong Kong, software/cloud services provider Kingsoft (OTCPK:KSFTF) rose 24.2% to HKD$29.50. Messaging/gaming giant Tencent (OTCPK:TCEHY) rose 3.3% to HKD$154.80.
- ETFs: KWEB, CQQQ, QQQC
Tue, Mar. 10, 5:07 PM
- Though it beat Q4 estimates, SINA is guiding for 2015 revenue of $800M-$900M; the midpoint is below an $884.6M consensus. Majority-owned Weibo (NASDAQ:WB) is guiding for Q1 revenue of $93M-$96M vs. a $94.4M consensus.
- The companies have announced Sina CFO Herman Yu will become Weibo's CFO, and Weibo CFO Bonnie Zhang will become Sina's CFO.
- With Weibo providing a boost, Sina's ad revenue rose 14% Y/Y in Q4 to $181.9M. Non-advertising revenue (non-GAAP) fell 18% to $26.6M, with a $4.8M drop in mobile value-added service (VAS) revenue offsetting a $1.9M increase in Weibo VAS revenue.
- Sina's gross margin was 65%, up from 63% in Q3 and 64% a year ago. Operating expenses rose 34% Y/Y to $132.9M (compares with just 7% revenue growth).
- Weibo's Q4 revenue beat was driven by a 57% Y/Y increase in ad/marketing service revenue to $88M; VAS revenue rose 12% to $17.2M. Costs/expenses rose 40% to $95.5M (compares with 47% revenue growth).
- Weibo monthly active users rose 5% Q/Q and 36% Y/Y to 175.7M. Daily active users rose 5% Q/Q and 31% Y/Y to 80.6M.
- SINA +0.8% AH to $36.50; shares went into earnings less than $2 away from a 52-week low of $34.89. WB -1.8% to $14.61 after rising 2.2% in regular trading.
- Sina: Q4 results, PR. Weibo: Q4 results, PR.
Tue, Mar. 10, 4:33 PM
Mon, Mar. 9, 5:35 PM
Wed, Jan. 7, 12:46 PM
Dec. 22, 2014, 5:21 PM
- SINA states police in the city of Shenzhen are probing allegations P2P lending platform Zhonghuizaixian.com misappropriated bankers' acceptances supporting a wealth management product Sina helped sell. Zhonghuizaixian recently said it has received investor claims demanding as much as $8.8M.
- Sina's financial liability might be bigger than that: GeoTeam: "According to Chinese media, there's RMB 260M (USD $42.4M) that may have to be made whole by [Sina's] subsidiary & over 3k investors affected."
- A number of major Chinese Internet companies have launched wealth management platforms via partnerships. The products have seen healthy uptake among Chinese consumers looking for an alternative to the low interest rates provided by state-owned banks.
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
Nov. 13, 2014, 4:52 PM
- Though it beat Q3 estimates, SINA expects Q4 revenue of $204M-$210M, below a $214.8M consensus. On the other hand, majority-owned Weibo (NASDAQ:WB) expects Q4 revenue of $102M-$105M, above a $100.6M consensus.
- Thanks to Weibo, Sina's Q3 ad revenue rose 10% Y/Y to $166.8M, and its non-ad revenue rose 3% to $29.2M. However, portal ad revenue fell by $6.5M Y/Y, and mobile value-added service revenue fell by $7.4M.
- Sina's Q3 gross margin was 63%, +200 bps Q/Q and -100 bps Y/Y. Opex rose 40% Y/Y to $127.1M, handily exceeding revenue growth of 9%.
- Weibo's ad/marketing revenue rose 50% Y/Y to $65.4M, and its value-added services revenue (boosted by its Alibaba partnership) 93% to $18.8M. Costs/expenses rose 51% to $87.8M, slightly trailing revenue growth of $84.1M.
- Weibo monthly active users rose 7% Q/Q and 36% Y/Y to 167M. Daily active users rose 10% Q/Q and 30% Y/Y to 76.6M.
- Sina: Q3 results, PR. Weibo: Q3 results, PR.
Nov. 13, 2014, 4:33 PM
Nov. 12, 2014, 5:35 PM
Nov. 4, 2014, 2:16 PM
- Tong Chen, a Sina (SINA +0.9%) EVP and the company's chief editor since 2007, is leaving to head up Xiaomi's TV ops as the smartphone vendor gets set to invest $1B in Web video content.
- Chen was the media chief for Sina's various Web/mobile properties. Ironically, Xiaomi announced his hiring through its Weibo microblog.
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
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