Weibo (NASDAQ:WB) Stock Price Crosses Above 50-Day Moving Average - Should You Sell?

Key Points

• Weibo shares crossed above their 50-day moving average, trading as high as $8.16 before closing near $8.08, compared with a 50-day average of $7.69.
• Analyst sentiment is mixed: Weiss Ratings and Zacks Research issued sell-oriented ratings, while Jefferies maintained a buy rating with a $9.80 target. Overall, analysts rate the stock “Hold,” with a consensus price target of $11.90.
• Weibo’s latest quarterly revenue rose 6.1% year over year to $421.33 million, but earnings of $0.34 per share missed estimates by $0.02. Institutional investors own 68.77% of the company.

Weibo Corporation (NASDAQ:WB - Get Free Report)'s share price crossed above its fifty day moving average during trading on Tuesday . The stock has a fifty day moving average of $7.69 and traded as high as $8.16. Weibo shares last traded at $8.08, with a volume of 744,038 shares traded.

Analyst Upgrades and Downgrades

Several equities research analysts have recently issued reports on the company. Weiss Ratings reaffirmed a "sell (d+)" rating on shares of Weibo in a research report on Friday, July 24th. Zacks Research cut Weibo from a "hold" rating to a "strong sell" rating in a research report on Tuesday, June 9th. Finally, Jefferies Financial Group reissued a "buy" rating and set a $9.80 price objective on shares of Weibo in a research report on Thursday, May 28th. Two equities research analysts have rated the stock with a Buy rating and two have issued a Sell rating to the company. According to data from MarketBeat, the company has an average rating of "Hold" and a consensus target price of $11.90.

Weibo Price Performance

The firm has a market cap of $1.98 billion, a P/E ratio of 5.65, a price-to-earnings-growth ratio of 4.91 and a beta of 0.18. The stock's 50-day moving average is $7.69 and its 200-day moving average is $8.76. The company has a quick ratio of 3.02, a current ratio of 3.02 and a debt-to-equity ratio of 0.48.

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

Institutional Investors Weigh In On Weibo

A number of institutional investors have recently added to or reduced their stakes in the company. EverSource Wealth Advisors LLC increased its stake in Weibo by 337.5% during the first quarter. EverSource Wealth Advisors LLC now owns 3,876 shares of the information services provider's stock valued at $34,000 after acquiring an additional 2,990 shares during the period. WealthCollab LLC lifted its position in shares of Weibo by 50.1% in the 4th quarter. WealthCollab LLC now owns 5,123 shares of the information services provider's stock worth $52,000 after acquiring an additional 1,709 shares during the period. Daiwa Securities Group Inc. bought a new stake in shares of Weibo in the 2nd quarter worth approximately $61,000. FourThought Financial Partners LLC acquired a new stake in shares of Weibo during the 4th quarter worth approximately $110,000. Finally, AQR Capital Management LLC acquired a new stake in shares of Weibo during the 1st quarter worth approximately $117,000. 68.77% of the stock is owned by institutional investors and hedge funds.

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.

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