|Bid||58.60 x 800|
|Ask||58.62 x 1300|
|Day's Range||57.84 - 59.75|
|52 Week Range||51.15 - 129.50|
|Beta (3Y Monthly)||1.57|
|PE Ratio (TTM)||23.25|
|Earnings Date||May 7, 2019 - May 13, 2019|
|Forward Dividend & Yield||N/A (N/A)|
|1y Target Est||71.86|
Facebook (NASDAQ: FB) is one of the few social media stocks that technology investors should hold in their core portfolios. Still, diversification within this subsector offers a margin of safety, which means considering other stocks is also a good idea.Besides, after significant selling in Facebook stock since summer 2018 has sent the stock to a low of $123, investors have started opening up to holding other instant messaging-based companies.Facebook's underperformance is a risk factor for investors in 2019. Negative media coverage that undermines the site's security and privacy issues could convince addicted users to finally quit the site. Those users may opt to use Facebook's WhatsApp or Instagram, but that will still hurt the company's profits. WhatsApp is not making much revenue and Instagram ads have a sharply lower profit margin than those posted on the News Feed.InvestorPlace - Stock Market News, Stock Advice & Trading Tips * 10 Tech Stocks With Key Products That Face an Uncertain Future So, how should investors diversify away from this networking giant? Here are five social media stocks to buy instead of Facebook. Twitter (TWTR)Source: Shutterstock Twitter (NYSE:TWTR) is stuck in a prolonged trading range of between around $26 and $34. Every time the stock drops to the $26 range, it rallies. Likewise, when TWTR stock is $34 - $35, traders lock in profits. At a $25 billion market cap, TWTR stock is 19 times smaller than that of Facebook's $481 market cap.At that market price, investors get a micro-blogging services firm that is becoming more appealing to advertisers. Cleveland Research wrote that encouraging feedback from advertisers would justify an increase in revenue estimates for Twitter.At a presentation at the Morgan Stanley conference, Twitter said it was cleaning up its user base. DAU and MAU numbers no longer matter so much when those activities just measure bots and spammers. Instead, Twitter will baseline its measures against revenue generation per user. For the investor, that is a welcome change in metrics.Advertisers are more than happy at the changes by TWTR. They will become the primary destination site for starting online conversations on products. The audience, mostly on a mobile device, will see and interact with the chatter, strengthening the advertising push. Snap Inc (SNAP)Source: Shutterstock Snap Inc (NYSE:SNAP) started the year at around $5, but SNAP stock has risen steadily to over $10.70 on the markets recently.The company reported strong Q4/2018 results on Feb. 5. Its introduction of advertising video ads that users could not skip added to the bottom line. Getting users to view ads in exchange for the free use of Snap's messaging and camera features is a more than fair compromise.SNAP stock investors liked the ad-friendly shift: SNAP stock is holding up at the $10 level and could head higher for 2019. Facebook clearly has a problem monetizing and growing Instagram if Snap continues to draw in more users. Snap might even win back the users who left to Instagram, following Snap's disastrous app update.In the fourth quarter, Snap reported record revenue of $390 million, up 36% from last year. It reduced its operating losses, net loss, even after DAUs were comparable to last year's levels. DAUs were 186 million, similar to the 187 million reported last year. * 10 Monthly Dividend Stocks to Buy to Pay the Bills Investments it made in 2019, especially in the area of long-term scalability, will pay off for the remainder of the year and beyond. As more advertisers shift some funds allocated from Facebook to Snap instead, Snap may achieve profitability sooner. And when that happens, SNAP stock will continue its climb. At a 14 billion market cap, SNAP stock is smaller than TWTR stock. That could change if SNAP recovers back to its 52-week high of $16.85. Weibo (WB)Source: Shutterstock Weibo (NASDAQ:WB) bottomed in the low $50's in January and attempted to rally back to the $75 level, only to close recently at $58.70. It has a market cap of $12.8 billion, while WB stock is valued at a 23.8X price-to-earnings ratio. Investors grew nervous following its fourth-quarter report. Worries over no U.S. and China trade deal for the week of March 18 - 22 also added to the selling pressure.Weibo reported MAUs of 462 million in the fourth quarter. Advertising and marketing revenue rose 25% year-over-year to $417 million. DAUs rose 28 million from last year to 200 million. The company guided Q1 revenue of between $395 million - $405 million. This is within consensus, but because Weibo did not guide above it, WB stock sold off.The leading social media in China captured a higher market share in digital advertising budget. This enabled the company to report a solid 28% year-over-year increase in net revenue of $481.9 million. Weibo controlled cost and expenses too. Costs rose to $298.8 million, up from $232.2 million. Cost increases were due to higher revenue shares to live broadcasters. The higher personnel-related costs and expenses will pay off in future quarters as the staff brings in more business. Sina Corporation (SINA)Source: Shutterstock Sina Corporation (NASDAQ:SINA) is another Chinese media stock investors should consider over FB stock. It describes itself as a leading online media company serving China and the global Chinese communities. Sina.com is a notable digital media network, while Sina mobile has a mobile portal and mobile apps. Weibo is the social media enabler for the firm.The company reported Q4 results on March 5. Revenue grew 14% from last year, helped by a 14% year-on-year increase in ad revenue, to $484.3 million. Gross margin improved to 79%, up from 75% last year.Sina spent more for the year, although some of the increase is due to accounting changes and goodwill and an acquired intangibles impairment charge for its non-core business line. The company ended 2018 with $2.3 billion in cash and cash equivalents. This fell from the previous year, due to a share repurchase program and a repayment of convertible senior notes. * 7 Consumer Discretionary Stocks to Buy Now Sina forecasts revenue growing at 18% - 25%. Compared to its 33x P/E, the PEG of 1.56X is comparable to Facebook's 1.3X. But China's fast-growing internet community will drive Sina's audience growth for years to come. Alphabet (GOOG)Source: Brionv via Wikimedia (Modified)Although Alphabet (NASDAQ:GOOG, NASDAQ:GOOGL) has no real pure play in social media, investors cannot ignore its giant presence as a search engine, which makes it notable among social media stocks. Google is the gateway search engine to get to other social media sites. At $821 billion, the company is twice as large as Facebook by market cap. And for good reason.Alphabet abandoned its social media hopes when it closed down Google+. Now that it is refocusing its growth on advertising revenue on the search engine, investors should consider holding GOOG stock. Alphabet announced a Google game service -- Stadia -- last week that could draw a big audience. Should social media, which involves sharing content, posting updates and messaging, bore users, gaming is the next area of continued online activity.Stadia will allow games to run on Google servers. The ecosystem will allow users to play games and also watch them. YouTube could become the means by which users are a spectator on the platform. With YouTube becoming even more than just streaming content, the value of the platform increases. Investors could invest in that value-add by buying GOOG stock.As of this writing, Chris Lau did not hold a position in any of the aforementioned securities. More From InvestorPlace * 2 Toxic Pot Stocks You Should Avoid * 7 Dual-Class Stocks That Will Outperform * 7 Reasons Why Apple Streaming Won't Move the Needle for Apple Stock * 7 A-Rated Stocks to Buy in the Second Quarter Compare Brokers The post 5 Social Media Stocks to Buy Instead of Facebook appeared first on InvestorPlace.
It wasn't that long ago investors were face-to-face with a menacing bear in the major U.S. markets. The tangle, of course, proved shorter-lived than a sand castle built in a tidal pool at high tide. But that doesn't mean there aren't stocks trending lower. For investors seeking diversification from the U.S. market's raging bull, this trio of Chinese stocks is setting up nicely for short-sellers.Going across-the-pond and shorting Chinese stocks makes strategic sense, especially considering many of the country's leading names are still trading in bear markets. * 10 Stocks on the Rise Heading Into the Second Quarter Bottom line, it can be profitable to pick up others' unwanted garbage at bargain prices.InvestorPlace - Stock Market News, Stock Advice & Trading TipsHowever, as I'll discuss below, the charts for Weibo (NASDAQ:WB), Sina (NASDAQ:SINA) and Baidu (NASDAQ:BIDU) strongly suggest otherwise. In fact, WB stock, SINA and BIDU are among the best short-selling opportunities in Chinese stocks: Weibo (WB) Click to EnlargeWhat can I say or more aptly, what can the chart of WB stock say other than the trend is your friend if you're a bear. A couple of weeks ago Weibo, a social media and gaming platform, announced quarterly results which on the surface sounded quite bullish.The Chinese stock beat Street earnings estimates by 5 cents with profits of 73 cents per share. Weibo also saw sales growth of 28% from a year prior that matched forecasts and issued in-line guidance for the company's first quarter. Nevertheless, it's been all downhill ever since for WB stock.Technically, Weibo's earnings report sent shares tumbling from a multi-day challenge of the 200-day simple moving average and firmly back into bear territory. Now, and a couple of weeks later, it's time to put shares on the radar for a short.Currently, this Chinese stock is toiling in a consolidation pattern wedged at the 62% retracement level from WB's 2016 - 2018 bull cycle. I'd suggest shorting WB beneath the recent low of $59.35 as shares breakdown.For money management, the recommendation is to use the three-day high for exiting. As of this writing that's $62.52. But if conditions go according to plan, a short trigger should reaffirm Weibo's bearish trend and put the 2019 low of $51.15 as a logical first target for profit-taking. Sina (SINA) Click to Enlarge SINA is another internet company which sounds a lot like the Yahoo portal, which offers users a vast and varied amount of content. And much like Yahoo, I have to wonder if anyone, other than my dad, goes there anymore to catch up on the news?Apparently, some other folks do use the SINA platform.SINA announced year-over-year sales growth of 13.8% earlier this month when it released its quarterly confessional. However, revenues were a tad weaker-than-forecast. Also, this Chinese stock's earnings doled up a big-time profit miss of 41 cents per share on actual earnings of 22 cents vs. estimates of 63 cents.Much like WB stock, earnings have taken their toll on SINA shareholders as the report resulted in this Chinese stock gapping lower out of a challenge of the 200-day simple moving average. But the trend looks even worse for bulls and stronger for bears on the provided weekly price chart.On the larger timeframe, SINA's downtrend has been firmly rooted in a consolidation period beneath the 62% retracement level. And with the earnings reaction helping break shares through angular support and a supportive-looking weekly stochastics set-up, SINA is in position for shorting. * 7 Dual-Class Stocks That Will Outperform My recommendation is to simply short SINA stock beneath the two-week doji closing low of $58.09. And to keep one's exposure contained off and on the price chart, a blended stop above $60.20 looks approachable. Baidu (BIDU) Click to Enlarge Not that I'm saving the best for last, but as the detailed chart work might hint at, BIDU has garnered this strategist's attention in the not-too-distant past. And on those many occasions, I've actually been a consistent supporter of buying this Chinese stock on weakness. But I recently changed my tune.In late February I cautioned investors against owning BIDU and even to short the tech giant. The bearish lean followed an overall much healthier-than-expected earnings report, but one which failed to rally shares despite having been largely left out of 2019's bullish run in the market.Fast forward a couple of weeks and despite both U.S. and China's benchmark averages rallying to fresh relative highs, BIDU stock has remained in the captivity of a bearish flag pattern beneath oodles of technical resistance.For like-minded investors that wish to trade this Chinese stock's friendly trend, for now, I'd put shares on the radar for shorting beneath the prior week's opening low of $165.60. That would have the impact of breaking the flag's angular support and a second attempt for BIDU reaffirming its bearish trend.For money management and to reduce unnecessary exposure on the Baidu price chart and in one's trading account, a blended stop above $173 looks about right in today's market.Similar to our last write-up, the 50% retracement level near $147 looks like a good spot to take initial profits. And if conditions become even more favorable, angular trend-line support near $135 would be a second area to lock in profitable gains.Investment accounts under Christopher Tyler's management do not currently own positions in any securities mentioned in this article. The information offered is based upon Christopher Tyler's observations and strictly intended for educational purposes only; the use of which is the responsibility of the individual. For additional options-based strategies, related musings or to ask a question, you can find and follow Chris on Twitter @Options_CAT and StockTwits. More From InvestorPlace * 2 Toxic Pot Stocks You Should Avoid * 7 Retail Stocks That Will Continue to Rebound in 2019 * 5 Stocks To Buy for the Happiest Employees * 7 ETFs for a Millennial Portfolio Compare Brokers The post 3 Chinese Stocks to Take a Bite Out Of appeared first on InvestorPlace.
Stocks are off to a great start in 2019. All three major indices are up more than 10%, led by a 16% rally in the Nasdaq Composite, and it's still only March.But, not all stocks have had a great year thus far. For every Roku (NASDAQ:ROKU) and Snap (NYSE:SNAP) -- two stocks that are already up more than 100% year-to-date -- there's another stock on the other end of the spectrum that has struggled for gains in 2019.For some of those struggling stocks, the pain will persist because the fundamentals are weak, and only getting weaker. Indeed, that's probably true for most stocks that have struggled amid the recent market rally.InvestorPlace - Stock Market News, Stock Advice & Trading TipsBut, for other beaten up stocks, the pain could end soon. The fundamentals are weak today, but getting better. When they do get better, they will converge on a beaten up stock against a healthy market backdrop, and that convergence could spark a rip-your-face-off rally.That's why I've compiled a list of seven beaten up stocks that I think are ready to reverse course soon. These stocks may stay weaker for longer. But, the underlying fundamentals are improving, and ultimately, buyers who exercise patience at these levels should be rewarded with a big rally in the near- to medium-term future. * 10 Stocks on the Rise Heading Into the Second Quarter Which beaten up stocks made the cut? Let's take a look. Axon (AAXN)Source: Shutterstock % Off All-Time Highs: 37%One of my favorite growth stocks back in 2017 was Axon (NASDAQ:AAXN). The thesis was simple. The law enforcement world is outdated. It needs to be technologically upgraded. Axon provides solutions that do just that across a wide spectrum applications, including smart weapons, body cameras and digital recording systems. Adoption of these solutions will grow by leaps and bounds over the next several years. As it does, Axon stock, which seemed hugely undervalued at $20, will rally.Fast forward two years. The big rally in Axon stock happened. It jumped from $20 to nearly $80 in a year and a half. That rally was overdone. Now, the stock has pulled back in a big way to below $50. This pullback is likewise overdone. The core fundamental growth narrative of Axon improving processes and outcomes across the law enforcement world remains healthy and unchallenged (there are basically no competitors). The stock just got ahead of itself at $80.I've long maintained that Axon stock is fundamentally supported and attractive at $50. I maintain that stance today, and that's why I think this stock is ready to reverse course soon. Weibo (WB)Source: Shutterstock % Off All-Time Highs: 56%Calendar 2018 was unkind to all stocks, but particularly so to Chinese tech stocks. In the slaughtered China tech group, one of the biggest losers was Weibo (NASDAQ:WB), which dropped more than 60% off all-time highs and remains more than 55% off all-time highs today.Surprisingly, the big drop in Weibo stock had very little to do with Weibo-specific fundamentals. Those fundamentals have remained very good. The social networking platform has continued to add users and grow revenues at a robust pace, while it has largely maintained its margin profile and consequently grown profits at an equally robust pace. But, what happened in 2018 is everyone freaked out about a slowdown in China, and those fears coupled with escalating trade and FX headwinds to create a tremendous amount of selling pressure on Weibo stock. * 5 of the Best Stocks to Buy Under $10 Things are looking up for Weibo stock in the New Year. China's economy appears to be stabilizing. Trade headwinds are less severe. As are FX headwinds. Meanwhile, the company just reported quarterly numbers that comprised 28% revenue growth, 18% user growth and 26% profit growth. In other words, the macro is improving, and the micro remains favorable. As such, it seems like only a matter of time before Weibo stock stages a huge comeback rally. Nvidia (NVDA)Source: Shutterstock % Off All-Time Highs: 43%Chip giant Nvidia (NASDAQ:NVDA) used to be considered the unstoppable "AI company". Everyone thought that the company had a monopoly in supplying the building blocks for AI-powered technologies. Everyone also assumed that demand in AI-end markets would remain robust forever. Neither of those is true. Nvidia has stiff competition, and demand has slowed. As such, Nvidia has gone from being an unstoppable growth stock, to a severely beaten-up stock trading more than 40% off all-time highs.But, things should improve in 2019. The big headwinds that weighed on NVDA stock in 2018 were inventory issues putting pressure on margins, and trade and economic uncertainty headwinds diluting demand. Those headwinds will become old news in 2019. Nvidia is already cycling through its inventory issues, and trade and economic uncertainty headwinds have become significantly less severe. As such, in 2019, demand should come back into picture, while supply should be reduced. That will create a favorable backdrop for Nvidia to return to healthy revenue growth and gross margin expansion.When that happens, NVDA stock will stage a huge turnaround toward and potentially above $200. Capri (CPRI)Source: Shutterstock % Off All-Time Highs: 54%Shares of global fashion conglomerate Capri (NYSE:CPRI) have been hammered over the past several quarters for various reasons. One, the core Michael Kors brand has lost steam. Two, margins have been under pressure. Three, investors have questioned the Versace acquisition. All together, investor sentiment has been weak, and CPRI stock has dropped more than 50% off all-time highs.I think these concerns are overblown. In the big picture, the morphing together of three luxury fashion brands (Michael Kors, Jimmy Choo and Versace) under one fashion conglomerate umbrella mitigates the financial risks and noise associated with fashion-trend cycles, while boosting brand awareness and equity. Consequently, while the Michael Kors brand will continue to cycle between hot and cold for the foreseeable future, Capri's revenues in 2019 and after will show significantly greater stability. Margins will likewise improve with this enhanced stability. And, because of revenue and margin stability, the Versace acquisition will prove to be more than worth it -- it will ultimately be seen as necessary. * 7 Hot Stocks Under $4 It's only a matter of time before the market realizes this. When it does, investors will flock to this really cheap stock (9-times forward earnings) and that flocking could spark a big recovery rally. AT&T (T)Source: Shutterstock % Off All-Time Highs: 30%The narrative at AT&T (NYSE:T) has been dominated by cord cutting for several years now. Specifically, as more consumers have cut the cord, AT&T's historically stable cable business has struggled. That has created a drag on the company's revenue, margins and profits. To make matters worse, with the acquisition on Time Warner, AT&T is now one of the most indebted companies in history. A bunch of debt on muted profit growth doesn't exactly attract buyers. It attracts sellers, and that's exactly what has happened to this stock.But, a turnaround could be in store. The mainstream and widespread roll-out of 5G wireless coverage is coming, and that will provide a much-needed boost to this company's wireless business. Meanwhile, Time Warner content assets should give AT&T the necessary firepower to expand more deeply into the streaming world and offset cord cutting weakness. Rates have also stopped climbing, so pressure on the balance sheet is easing while the big 6.6% dividend yield is relatively more attractive.All in all, the fundamentals underlying AT&T stock will improve in 2019. As they do, this super cheap, beaten up stock will outperform. Twitter (TWTR)Source: Shutterstock % Off All-Time Highs: 57%In 2018, social media giant Twitter (NYSE:TWTR) was on a roll. Until it wasn't. The stock went from $25, to $50, back to $25, all in the same year, as investors couldn't figure out whether user growth really mattered. Ultimately, the market has settled on the fact that it does matter, as revenue growth and margin expansion have remained robust, but the user base has declined, and Twitter stock trades well off all-time highs.The market made the wrong conclusion here. Monthly active users is a meaningless metric without engagement. What are eyeballs if those eyeballs aren't really interacting or paying attention? Engaged eyeballs for advertising purposes are infinitely more valuable because they lead to more data, which leads to better targeting, more relevant ads, and more ad conversions. At Twitter, those engaged eyeballs continue to go up, as the number of engaged daily active users is growing at a ~10% year-over-year rate. * 5 Stocks To Buy for the Happiest Employees So long as that number continues to grow, revenues will grow, and so will margins. The market will realize this in 2019. When it does, you will see Twitter stock stage a big turnaround. Activision (ATVI)Source: Gamevil Inc. via Flickr% Off All-Time Highs: 48%Much like Twitter, Activision (NASDAQ:ATVI) stock was on a roll. But the stock went from $65, to $80, to $45, all in a matter of twelve months, because near-term positives quickly turned into near-term negatives. Specifically, everyone was expecting a big holiday quarter out of Activision thanks to a new Call of Duty release. That release got delayed. When the game finally did get released, adoption and engagement rates were underwhelming. Fans were disappointed. So were investors. ATVI stock dropped 50%.But, this 50% haircut in ATVI stock seems way overdone. In the big picture, Activision still has three big trends working in its favor. One, digital and mobile consumption globally is only growing, and that lends itself to continued growth in the video game industry, of which Activision is a big player with a broad portfolio of secular appeal games. Two, esports is just starting to come into its own, and Activision is behind arguably the world's most important esports league. Three, innovation in the video game industry is nearing a breakthrough with things like AR/VR and cloud gaming, and those breakthroughs could supercharge growth across the whole industry.Overall, the long-term positives here significantly outweigh the near-term negatives. As such, patience will be rewarded. Eventually, near-term negatives will phase out. When they do, Activision stock will pop in a big way.As of this writing, Luke Lango was long ROKU, AAXN, WB, CPRI, T, TWTR and ATVI. More From InvestorPlace * 2 Toxic Pot Stocks You Should Avoid * 7 Specialty Retail ETFs to Buy the Industry's Disruption * 5 Stocks To Buy for the Happiest Employees * 3 Out-of-Favor Consumer Stocks to Buy Compare Brokers The post 7 Beaten-Up Stocks to Buy as They Reverse Course appeared first on InvestorPlace.
Can China Manage Growth without Fueling a Debt Crisis?(Continued from Prior Part)Chinese consumers The Chinese economy (FXI) has been shifting from being led by investments to being driven by consumption. China’s consumption accounts for over
SINA fourth-quarter 2018 results benefit from solid user base and Weibo's robust performance but regulatory changes in SME sector hurts.
Weibo stock fell Tuesday, along with Sina, as the two China internet companies reported fourth-quarter earnings before the market open that beat Wall Street estimates, as did their outlook.
BEIJING , March 5, 2019 /PRNewswire/ -- Weibo Corporation ("Weibo" or the "Company") (NASDAQ: WB), a leading social media in China , today announced its unaudited financial results ...
As a recent documentary from China’s state-owned CCTV network suggested, the groundswell of popularity for Cai’s video was inflated by agencies buying support from fake social-media accounts. While such accounts pose a problem all over the world, they’re thought to total as much as 40 percent of all active users in China. A campaign against fake social-media accounts, however, is one China’s internet users and businesses should really get behind.
Investing can be hard but the potential fo an individual stock to pay off big time inspires us. You won't get it right every time, but when you do, theRead More...
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A children's song with patriotic lyrics praising Huawei Technologies has gone viral, China's state-run tabloid the Global Times said, although the Chinese company has distanced itself from the video which has been mocked online. The video, which was posted on Chinese social media platform Weibo on Wednesday, features children singing a song called "Huawei Beauty" as they dance and cheer. In the video, children in uniform white T-shirts with the Chinese characters of "China" written on them, sing: "We love our country, we love homegrown brand Huawei" and "China's homegrown chips are the most valuable".
NIO Investors on Cloud Nine with 35% Gains in Five Days(Continued from Prior Part)China’s EV sales growth Previously in this series, we looked at China’s declining overall vehicle sales for the last eight months. Nonetheless, a consistent
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