Weibo (NASDAQ:WB) Reaches New 52-Week Low – Should You Sell?

Weibo Corporation (NASDAQ:WB)’s stock price reached a new 52-week low on Wednesday . The company traded as low as $7.44 and last traded at $7.50, with a volume of 1579442 shares traded. The stock had previously closed at $7.67.

Wall Street Analysts Forecast Growth

Several brokerages recently commented on WB. Weiss Ratings cut shares of Weibo from a “hold (c)” rating to a “sell (d+)” rating in a research note on Monday, April 27th. Jefferies Financial Group restated a “buy” rating and set a $9.80 target price on shares of Weibo in a research report on Thursday, May 28th. Finally, Zacks Research cut shares of Weibo from a “hold” rating to a “strong sell” rating in a report on Tuesday, June 9th. Two analysts have rated the stock with a Buy rating and two have assigned a Sell rating to the company. Based on data from MarketBeat, Weibo has a consensus rating of “Hold” and a consensus target price of $11.90.

Weibo Price Performance

The company has a quick ratio of 3.02, a current ratio of 3.02 and a debt-to-equity ratio of 0.48. The company has a market cap of $1.84 billion, a price-to-earnings ratio of 5.24, a price-to-earnings-growth ratio of 4.61 and a beta of 0.20. The company has a fifty day simple moving average of $8.29 and a two-hundred day simple moving average of $9.42.

Weibo (NASDAQ:WB) last released its quarterly earnings results on Thursday, May 28th. The information services provider reported $0.34 earnings per share (EPS) for the quarter, missing the consensus estimate of $0.36 by ($0.02). Weibo had a return on equity of 9.90% and a net margin of 21.15%.The firm had revenue of $421.33 million for the quarter, compared to analyst estimates of $416.76 million. During the same period last year, the firm earned $0.45 EPS. The company’s quarterly revenue was up 6.1% compared to the same quarter last year. On average, equities research analysts anticipate that Weibo Corporation will post 1.26 earnings per share for the current fiscal year.

Institutional Trading of Weibo

Several institutional investors and hedge funds have recently modified their holdings of the business. Grantham Mayo Van Otterloo & Co. LLC raised its position in shares of Weibo by 99.8% during the 3rd quarter. Grantham Mayo Van Otterloo & Co. LLC now owns 1,045,801 shares of the information services provider’s stock worth $12,968,000 after purchasing an additional 522,400 shares during the last quarter. Causeway Capital Management LLC lifted its stake in Weibo by 11.7% in the 3rd quarter. Causeway Capital Management LLC now owns 2,952,249 shares of the information services provider’s stock valued at $36,608,000 after buying an additional 308,531 shares in the last quarter. Krane Funds Advisors LLC grew its holdings in Weibo by 25.0% during the 3rd quarter. Krane Funds Advisors LLC now owns 4,676,063 shares of the information services provider’s stock valued at $57,983,000 after buying an additional 934,898 shares during the last quarter. Redhawk Wealth Advisors Inc. acquired a new stake in Weibo during the 4th quarter valued at $1,081,000. Finally, XY Capital Ltd increased its position in Weibo by 94.1% during the fourth quarter. XY Capital Ltd now owns 198,356 shares of the information services provider’s stock worth $2,027,000 after buying an additional 96,150 shares in the last quarter. Hedge funds and other institutional investors own 68.77% of the company’s stock.

Weibo Company Profile

Weibo Corporation operates one of China’s leading social media and microblogging platforms under the brand name Weibo. Launched in August 2009 by Sina Corporation, Weibo enables users to create, share and engage with short-form posts in real time. The platform supports text, images, videos and live streams, and offers features such as trending topics, hashtag campaigns and public discussion forums to facilitate user interaction and content discovery.

Weibo’s product suite extends beyond basic social networking to include digital content services such as live streaming, online games, value-added messaging and e-commerce integrations.