Weibo Corp tops analysts’ estimates for earnings and revenue in fiscal Q3

Weibo Corporation (NASDAQ: WB) published its financial results for the fiscal third quarter on Monday that came in better than what analysts had anticipated. The company attributed its hawkish performance to the ongoing Coronavirus pandemic that restricted people to their homes resulting in more users turning to social networks this year.

The COVID-19 crisis that originated in China has so far infected a little under 87 thousand people countrywide and caused more than 46 hundred deaths. In an announcement last week, Luxembourg-based BidaskClub lifted Weibo’s rating to “Hold” from its previous rating of “Sell”.

At £32.97 per share, Weibo Corp is currently about 15% down year to date in the stock market after recovering from an even lower £22.12 per share in May when the pandemic wreaked havoc on the global financial markets. If you want to invest in the stock market online, you will need a reliable stockbroker – here’s a list of the top few to make selection easier for you.

Weibo Corp’s Q3 financial results versus analysts’ estimates

The Chinese social network company said that its per-share net income (non-GAAP) in the third quarter printed at 48.85 pence. In the same quarter last year, its per-share earnings registered at a higher 56.99 pence. In comparison, experts had forecast a lower 44.41 pence per share of per-share profit for Weibo in the recent quarter.

According to the Beijing-based company, its net revenue in Q3 stood at £344.69 million that remained almost flat on a year over year basis. Analysts had expected the company to post a lower £332.52 million of net revenue in the third quarter.

As of September 2020, Weibo added on Monday, it had 511 million monthly active users versus the year-ago figure of 497 million. In separate news from China, e-commerce giant Alibaba crashed to a 6-month low in the stock market as State Administration for Market Regulation (SAMR) launched an investigation over alleged monopolistic practices.

Weibo’s guidance for the fiscal fourth quarter

Known for the microblogging website, Sina Weibo, the Chinese company now forecasts an up to 3% annualised growth in its fourth-quarter revenue on a constant currency basis.

Weibo Corporation performed fairly downbeat in the stock market last year with an annual decline of roughly 15%. At the time of writing, it is valued at £7.42 billion and has a price to earnings ratio of 20.85.