Weibo (NASDAQ:WB) Shares Gap Down – Time to Sell?

Weibo Co. (NASDAQ:WB)’s share price gapped down before the market opened on Thursday . The stock had previously closed at $11.20, but opened at $10.51. Weibo shares last traded at $10.63, with a volume of 404,478 shares trading hands.

Wall Street Analysts Forecast Growth

A number of equities analysts recently commented on the company. Nomura Securities raised Weibo to a “hold” rating in a research note on Monday, August 26th. Citigroup increased their price target on Weibo from $11.00 to $12.00 and gave the company a “buy” rating in a research note on Monday, September 30th. Finally, Morgan Stanley dropped their price target on Weibo from $8.00 to $7.50 and set an “underweight” rating for the company in a research note on Friday, August 23rd. Two investment analysts have rated the stock with a sell rating, four have assigned a hold rating and two have assigned a buy rating to the company. According to MarketBeat, the stock has an average rating of “Hold” and an average target price of $10.23.

Weibo Price Performance

The firm has a market capitalization of $2.73 billion, a P/E ratio of 9.79, a price-to-earnings-growth ratio of 1.89 and a beta of 0.23. The firm has a 50 day moving average price of $8.05 and a 200-day moving average price of $8.41. The company has a current ratio of 2.34, a quick ratio of 2.34 and a debt-to-equity ratio of 0.55.

Weibo (NASDAQ:WB) last posted its quarterly earnings data on Thursday, August 22nd. The information services provider reported $0.48 earnings per share (EPS) for the quarter, beating the consensus estimate of $0.38 by $0.10. The business had revenue of $437.90 million during the quarter, compared to analyst estimates of $437.97 million. Weibo had a return on equity of 11.01% and a net margin of 18.52%. The company’s revenue for the quarter was down .5% on a year-over-year basis. During the same period last year, the company earned $0.42 EPS. On average, analysts expect that Weibo Co. will post 1.48 earnings per share for the current year.

Institutional Investors Weigh In On Weibo

Institutional investors and hedge funds have recently modified their holdings of the business. Goldman Sachs Group Inc. lifted its stake in shares of Weibo by 199.1% during the 4th quarter. Goldman Sachs Group Inc. now owns 3,075,326 shares of the information services provider’s stock worth $33,675,000 after acquiring an additional 2,047,135 shares during the last quarter. Headlands Technologies LLC purchased a new position in Weibo during the 2nd quarter worth $1,398,000. Krane Funds Advisors LLC increased its holdings in Weibo by 17.4% during the 2nd quarter. Krane Funds Advisors LLC now owns 3,803,752 shares of the information services provider’s stock worth $29,213,000 after purchasing an additional 564,068 shares during the period. Mirae Asset Global Investments Co. Ltd. increased its holdings in Weibo by 65.0% during the 1st quarter. Mirae Asset Global Investments Co. Ltd. now owns 119,025 shares of the information services provider’s stock worth $1,082,000 after purchasing an additional 46,898 shares during the period. Finally, Quadrature Capital Ltd increased its holdings in Weibo by 47.8% during the 4th quarter. Quadrature Capital Ltd now owns 48,602 shares of the information services provider’s stock worth $531,000 after purchasing an additional 15,715 shares during the period. 68.77% of the stock is owned by institutional investors.

Weibo Company Profile

Weibo Corporation, through its subsidiaries, operates as a social media platform for people to create, distribute, and discover content in the People's Republic of China. It operates in two segments, Advertising and Marketing Services; and Value-Added Services. The company offers discovery products to help users discover content on its platform; self-expression products that enable its users to express themselves on its platform; and social products to promote social interaction between users on its platform.