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

Weibo Corporation (NASDAQ:WB) reached a new 52-week low on Friday . The stock traded as low as $7.68 and last traded at $7.6980, with a volume of 1753180 shares trading hands. The stock had previously closed at $7.85.

Analyst Upgrades and Downgrades

WB has been the subject of a number of research reports. Jefferies Financial Group reiterated a “buy” rating and issued a $9.80 price objective on shares of Weibo in a report on Thursday, May 28th. Weiss Ratings cut shares of Weibo from a “hold (c)” rating to a “sell (d+)” rating in a report on Monday, April 27th. Two investment analysts have rated the stock with a Buy rating and one has assigned a Sell rating to the company. Based on data from MarketBeat, the stock presently has an average rating of “Hold” and a consensus price target of $11.90.

Weibo Stock Performance

The company has a debt-to-equity ratio of 0.48, a quick ratio of 3.02 and a current ratio of 3.02. The stock has a market capitalization of $1.88 billion, a P/E ratio of 5.38, a PEG ratio of 4.15 and a beta of 0.20. The business has a 50-day moving average price of $8.45 and a 200 day moving average price of $9.54.

Weibo (NASDAQ:WB) last posted its quarterly earnings data 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). Weibo had a net margin of 21.15% and a return on equity of 9.90%. The company had revenue of $421.33 million for the quarter, compared to the consensus estimate of $416.76 million. During the same period last year, the business earned $0.45 EPS. The firm’s quarterly revenue was up 6.1% on a year-over-year basis. As a group, sell-side analysts forecast that Weibo Corporation will post 1.45 EPS for the current fiscal year.

Weibo Cuts Dividend

The business also recently declared an annual dividend, which was paid on Friday, May 22nd. Stockholders of record on Friday, April 17th were given a $0.61 dividend. This represents a dividend yield of 690.0%. The ex-dividend date of this dividend was Friday, April 17th. Weibo’s payout ratio is currently 41.26%.

Institutional Trading of Weibo

Several institutional investors have recently bought and sold shares of WB. Krane Funds Advisors LLC raised its holdings in Weibo by 25.0% in the third quarter. Krane Funds Advisors LLC now owns 4,676,063 shares of the information services provider’s stock worth $57,983,000 after buying an additional 934,898 shares during the last quarter. Causeway Capital Management LLC increased its position in shares of Weibo by 11.7% during the third quarter. Causeway Capital Management LLC now owns 2,952,249 shares of the information services provider’s stock valued at $36,608,000 after acquiring an additional 308,531 shares in the last quarter. Saba Capital Management L.P. increased its position in shares of Weibo by 21.0% during the first quarter. Saba Capital Management L.P. now owns 2,437,357 shares of the information services provider’s stock valued at $21,327,000 after acquiring an additional 422,294 shares in the last quarter. FIL Ltd purchased a new position in Weibo in the 4th quarter worth approximately $16,693,000. Finally, UBS Group AG boosted its position in shares of Weibo by 15.9% during the fourth quarter. UBS Group AG now owns 1,596,371 shares of the information services provider’s stock valued at $16,315,000 after buying an additional 218,666 shares during the last quarter. 68.77% of the stock is owned by hedge funds and other institutional investors.

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.