Weibo (NASDAQ:WB) Sets New 52-Week Low – What’s Next?

Shares of Weibo Corporation (NASDAQ:WB) reached a new 52-week low during mid-day trading on Thursday. The company traded as low as $6.36 and last traded at $6.3750, with a volume of 474996 shares trading hands. The stock had previously closed at $6.46.

Wall Street Analysts Forecast Growth

WB has been the subject of a number of analyst reports. Zacks Research cut Weibo from a “hold” rating to a “strong sell” rating in a report on Thursday, September 24th. Bank of America restated an “underperform” rating on shares of Weibo in a research note on Friday, August 21st. Benchmark reaffirmed a “hold” rating on shares of Weibo in a research note on Thursday, August 20th. Weiss Ratings reiterated a “sell (d+)” rating on shares of Weibo in a report on Friday, July 24th. Finally, Citigroup cut shares of Weibo from a “buy” rating to a “neutral” rating and decreased their price objective for the company from $9.30 to $7.80 in a research report on Thursday, August 20th. One analyst has rated the stock with a Buy rating, two have issued a Hold rating and three have issued a Sell rating to the company’s stock. According to MarketBeat.com, the stock presently has a consensus rating of “Reduce” and an average price target of $8.80.

Weibo Stock Performance

The company has a current ratio of 3.59, a quick ratio of 3.59 and a debt-to-equity ratio of 0.46. The company’s 50-day moving average is $7.12 and its two-hundred day moving average is $7.79. The stock has a market capitalization of $1.55 billion, a P/E ratio of 5.23 and a beta of 0.17.

Weibo (NASDAQ:WB) last released its quarterly earnings results on Thursday, August 20th. The information services provider reported $0.38 earnings per share for the quarter, beating analysts’ consensus estimates of $0.36 by $0.02. The company had revenue of $453.83 million for the quarter, compared to analysts’ expectations of $442.45 million. Weibo had a return on equity of 8.87% and a net margin of 17.78%. As a group, sell-side analysts anticipate that Weibo Corporation will post 1.02 EPS for the current fiscal year.

Institutional Inflows and Outflows

A number of institutional investors have recently added to or reduced their stakes in WB. Saba Capital Management L.P. raised its stake in shares of Weibo by 21.0% during the first quarter. Saba Capital Management L.P. now owns 2,437,357 shares of the information services provider’s stock valued at $21,327,000 after purchasing an additional 422,294 shares in the last quarter. Wellington Management Group LLP lifted its holdings in Weibo by 41.9% in the second quarter. Wellington Management Group LLP now owns 2,363,373 shares of the information services provider’s stock worth $17,158,000 after purchasing an additional 697,778 shares during the period. Sei Investments Co. grew its position in Weibo by 39.6% in the 1st quarter. Sei Investments Co. now owns 584,557 shares of the information services provider’s stock valued at $5,115,000 after buying an additional 165,936 shares in the last quarter. Alpine Investment Management Ltd bought a new position in Weibo in the 4th quarter valued at about $3,945,000. Finally, XY Capital Ltd increased its stake in Weibo by 94.1% during the 4th quarter. XY Capital Ltd now owns 198,356 shares of the information services provider’s stock valued at $2,027,000 after buying an additional 96,150 shares during the period. Institutional investors and hedge funds own 68.77% of the company’s stock.

About Weibo

Weibo Corp. (NASDAQ: WB) operates a Chinese-language social media platform that enables users to create, share and discover content through short posts, videos, images, live streams and other multimedia formats. The platform supports public conversations, following relationships, trending topics and content distribution across entertainment, news, sports, technology and other categories.

Weibo generates revenue primarily through advertising and marketing services, including promoted content and brand campaigns.