Weibo (NASDAQ:WB) Shares Gap Down - Should You Sell?

Weibo Co. (NASDAQ:WB - Get Free Report)'s share price gapped down prior to trading on Wednesday . The stock had previously closed at $10.26, but opened at $9.84. Weibo shares last traded at $10.02, with a volume of 1,139,375 shares.

Analyst Upgrades and Downgrades

Several research analysts have recently issued reports on WB shares. Citigroup upped their target price on shares of Weibo from $11.00 to $12.00 and gave the stock a "buy" rating in a research note on Monday, September 30th. Morgan Stanley lowered their price objective on Weibo from $8.00 to $7.50 and set an "underweight" rating on the stock in a research report on Friday, August 23rd. Finally, Nomura Securities raised Weibo to a "hold" rating in a report on Monday, August 26th. Two investment analysts have rated the stock with a sell rating, four have given a hold rating and two have assigned a buy rating to the stock. According to MarketBeat, the company currently has a consensus rating of "Hold" and a consensus target price of $10.23.

Weibo Stock Down 2.4 %

The company has a market cap of $2.34 billion, a PE ratio of 8.45, a PEG ratio of 1.96 and a beta of 0.23. The company has a quick ratio of 2.34, a current ratio of 2.34 and a debt-to-equity ratio of 0.55. The company's fifty day moving average is $8.19 and its 200-day moving average is $8.43.

Weibo (NASDAQ:WB - Get Free Report) last posted its quarterly earnings data on Thursday, August 22nd. The information services provider reported $0.48 EPS for the quarter, beating analysts' consensus estimates of $0.38 by $0.10. The company had revenue of $437.90 million during the quarter, compared to analysts' expectations of $437.97 million. Weibo had a return on equity of 11.01% and a net margin of 18.52%. Weibo's revenue for the quarter was down .5% compared to the same quarter last year. During the same quarter in the prior year, the business earned $0.42 earnings per share. On average, analysts predict that Weibo Co. will post 1.48 EPS for the current year.

Institutional Inflows and Outflows

Institutional investors have recently added to or reduced their stakes in the business. Goldman Sachs Group Inc. lifted its position in shares of Weibo by 199.1% during the 4th quarter. Goldman Sachs Group Inc. now owns 3,075,326 shares of the information services provider's stock valued at $33,675,000 after buying an additional 2,047,135 shares in the last quarter. Acadian Asset Management LLC boosted its position in shares of Weibo by 204.5% in the second quarter. Acadian Asset Management LLC now owns 2,433,509 shares of the information services provider's stock worth $18,678,000 after purchasing an additional 1,634,230 shares during the period. Healthcare of Ontario Pension Plan Trust Fund purchased a new stake in shares of Weibo in the first quarter worth $7,435,000. Krane Funds Advisors LLC raised its position in shares of Weibo by 17.4% during the 2nd quarter. Krane Funds Advisors LLC now owns 3,803,752 shares of the information services provider's stock valued at $29,213,000 after purchasing an additional 564,068 shares during the period. Finally, Canada Pension Plan Investment Board lifted its stake in shares of Weibo by 64.1% during the 2nd quarter. Canada Pension Plan Investment Board now owns 1,309,385 shares of the information services provider's stock valued at $10,056,000 after buying an additional 511,248 shares in the last quarter. 68.77% of the stock is currently owned by institutional investors.

Weibo Company Profile

Weibo Corporation, through its subsidiaries, operates as a social media platform for people to create, distribute, and discover content in the People's Republic of China. It operates in two segments, Advertising and Marketing Services; and Value-Added Services. The company offers discovery products to help users discover content on its platform; self-expression products that enable its users to express themselves on its platform; and social products to promote social interaction between users on its platform.