iQIYI (NASDAQ:IQ) Issues Quarterly Earnings Results

Key Points

• iQIYI reported earnings per share of ($0.01), surpassing the estimated ($0.02) by $0.01, indicating a slight positive performance.
• The company's return on equity was reported at 3.62% with a net margin of 1.02%, reflecting its operational efficiency.
• iQIYI's stock rating has shifted, as Wall Street Zen downgraded it from "hold" to "sell", creating caution among investors.

iQIYI (NASDAQ:IQ - Get Free Report) released its quarterly earnings results on Wednesday. The company reported ($0.01) earnings per share (EPS) for the quarter, topping the consensus estimate of ($0.02) by $0.01, Zacks reports. iQIYI had a net margin of 0.32% and a return on equity of 2.26%. The business had revenue of $924.97 million for the quarter, compared to analyst estimates of $6.68 billion.

iQIYI Stock Performance

Shares of IQ traded up $0.11 during trading hours on Friday, reaching $2.46. 24,786,306 shares of the company traded hands, compared to its average volume of 23,228,484. The stock has a market capitalization of $2.37 billion, a P/E ratio of 246.25 and a beta of -0.14. The company has a quick ratio of 0.46, a current ratio of 0.42 and a debt-to-equity ratio of 0.67. iQIYI has a 12-month low of $1.50 and a 12-month high of $3.35. The business has a fifty day moving average price of $1.89 and a 200-day moving average price of $1.96.

Institutional Investors Weigh In On iQIYI

A hedge fund recently raised its stake in iQIYI stock. UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC increased its stake in shares of iQIYI, Inc. Sponsored ADR (NASDAQ:IQ - Free Report) by 393.4% during the first quarter, according to its most recent Form 13F filing with the Securities and Exchange Commission (SEC). The fund owned 2,152,263 shares of the company's stock after buying an additional 1,716,011 shares during the quarter. UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC owned about 0.22% of iQIYI worth $4,864,000 as of its most recent SEC filing. 52.69% of the stock is currently owned by institutional investors and hedge funds.

Analyst Upgrades and Downgrades

IQ has been the topic of several analyst reports. CLSA raised shares of iQIYI from a "hold" rating to a "moderate buy" rating in a report on Tuesday, August 19th. Wall Street Zen lowered shares of iQIYI from a "hold" rating to a "sell" rating in a report on Saturday, July 26th. UBS Group raised shares of iQIYI from a "neutral" rating to a "buy" rating and set a $3.32 price target on the stock in a report on Thursday. Finally, Jefferies Financial Group lifted their price target on shares of iQIYI from $2.10 to $2.50 and gave the stock a "buy" rating in a report on Wednesday. Three research analysts have rated the stock with a Buy rating, six have assigned a Hold rating and one has issued a Sell rating to the stock. According to MarketBeat.com, the company currently has a consensus rating of "Hold" and a consensus target price of $2.56.

About iQIYI

iQIYI, Inc, together with its subsidiaries, provides online entertainment video services in the People's Republic of China. It offers various products and services, including online video, online games, online literature, animations, and other products. The company operates a platform that provides a collection of internet video content, such as professionally produced content licensed from professional content providers and self-produced content.