Using the upper range of the new estimate for the next quarter plus this quarter's beat, full year 2011 EPS can be bumped from $4.67 to $4.80, giving a forward PE of 22. While this seems "cheap" compared to other stocks in the Chinese internet space for most of the decade this group traded at a major discount to growth ...
- Chinese Internet portal Sohu.com Inc. said its first-quarter net profit rose 48% from a year earlier, beating expectations due to strong advertising and online gaming revenue growth, and it gave an upbeat revenue outlook.
- Sohu also said its online gaming unit Changyou.com Ltd. will buy a majority stake in another Chinese game developer, a move to fuel further growth amid tough competition.
- Net profit for the three months ended March 31 rose to $44.8 million from $30.2 million a year earlier, Sohu said in a statement. The company's net profit was above the average $38.68 million forecast of seven analysts polled by Thomson Reuters.
- Sohu's earnings per share rose to $1.01 a share, from 73 cents a year earlier. Revenue rose 35% to $174.4 million from $129.5 million.
- Brand advertising revenue rose 45% to $57.2 million, and online game revenue rose 32% to $94.9 million.
- Sohu said it expects second-quarter revenue of $188 million-$193 million, up from $146.1 million in the same period last year and above the average $183.4 million forecast of 10 analysts in a Thomson Reuters poll.
- Sohu projected second-quarter earnings per share, excluding share-based compensation, to be between $1.13 and $1.18, up from 96 cents a year earlier.
[Feb 16, 2009: Sohu Continues Growing at Solid Pace]
[Jul 28, 2008: Sohu.com - Another Hit Earnings and Gaming Unit IPO Spinoff]
[June 23, 2008: Sohu.com - Analysts Rush to it's Defense]
[Jun 20, 2008: Sohu.com Sees Ad Revenue Slowing in 2009]
[Feb 4, 2008: Sohu.com Also Impressive]