Baidu (BIDU) recently filed a draft prospectus with the SEC to IPO iQiyi, who many call China’s Netflix. Although Baidu has not disclosed how much capital it wants to raise, analysts have previously estimated that iQiyi would likely IPO in the valuation range of $8-$10 billion and that Baidu might seek to raise around $1 billion. Given that Baidu currently holds 80.5% of iQiyi and expects to remain the majority shareholder after the IPO, any increase in iQiyi’s stock would benefit Baidu shares. Baidu itself is worth $86 billion in market cap.
iQiyi is a leader in a huge market
One reason iQiyi is called the Netflix of China is that it streams some Netflix (NFLX) shows, thanks to a licensing agreement struck in April 2017. Netflix has not been a major player in China due to Chinese government regulation that stipulated no service have over 30% foreign content.
Another reason is that iQiyi is a major player in the online video sector. In terms of mobile MAUs in China, iQiyi is an undisputed force, along with Tencent (OTCPK:TCEHY) Video and Alibaba (BABA)’s Yukou Tudou. As of August 2017, Tencent Video was the market leader by a hair, with 457 million mobile MAUs, and iQiyi was a close second, with 442 million. Yukou Tudou, which Alibaba bought for a valuation of $5.4 billion in 2016, was third, with around 325 million mobile MAUs.
Hot China Stocks To Invest In Right Now: Renesola Ltd.(SOL)
Advisors’ Opinion:
- [By Joseph Griffin]
These are some of the media headlines that may have impacted Accern’s scoring:
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ReneSola Sells North Carolina Solar Project To Greenbacker (solarindustrymag.com) ReneSola (SOL) Rating Increased to Neutral at Roth Capital (americanbankingnews.com) ReneSola (SOL) Q1 Earnings in Line, Revenues Top Estimates (zacks.com) ReneSola’s (SOL) CEO Xianshou Li on Q1 2018 Results – Earnings Call Transcript (seekingalpha.com) ReneSola (SOL) Releases Earnings Results (americanbankingnews.com)
Shares of ReneSola traded up $0.08, hitting $2.76, during trading on Friday, Marketbeat.com reports. The stock had a trading volume of 124,969 shares, compared to its average volume of 108,565. The firm has a market capitalization of $102.11 million, a PE ratio of 21.23 and a beta of 2.05. The company has a current ratio of 1.17, a quick ratio of 1.17 and a debt-to-equity ratio of 0.36. ReneSola has a 12 month low of $2.12 and a 12 month high of $3.79.
Hot China Stocks To Invest In Right Now: Netease.com Inc.(NTES)
Advisors’ Opinion:
- [By Harsh Chauhan]
China’s booming video gaming industry has turned out to be a big moneymaker for NetEase (NASDAQ:NTES) in recent years. From operatingActivision’s popular games such as World of Warcraft and Diablo to building a solid portfolio of self-developed mobile games, NetEase has kept its finger on the pulse of the video gaming market to clock terrificgrowth.
- [By Leo Sun]
That expansion can be hard to keep track of, but investors should recognize the five companies which Tencent could hurt: NetEase (NASDAQ:NTES), Weibo (NASDAQ:WB), Baidu (NASDAQ:BIDU), iQiyi (NASDAQ:IQ), and Alibaba (NYSE:BABA).
- [By Lisa Levin]
NetEase, Inc. (NASDAQ: NTES) is expected to post quarterly earnings at $2.19 per share on revenue of $2.18 billion.
China Distance Education Holdings Limited (NYSE: DL) is estimated to post earnings for its second quarter.
Hot China Stocks To Invest In Right Now: Focus Media Holding Limited(FMCN)
Advisors’ Opinion:
- [By Stephan Byrd]
An issue of Focus Media Holding Limited (NASDAQ:FMCN) debt fell 1.1% against its face value during trading on Tuesday. The debt issue has a 7.5% coupon and is set to mature on April 1, 2025. The debt is now trading at $97.63 and was trading at $98.50 last week. Price changes in a company’s debt in credit markets sometimes anticipate parallel changes in its stock price.
- [By Stephan Byrd]
An issue of Focus Media Holding Limited (NASDAQ:FMCN) bonds fell 0.9% against their face value during trading on Monday. The high-yield debt issue has a 7.25% coupon and will mature on April 1, 2023. The bonds in the issue are now trading at $99.13 and were trading at $98.13 last week. Price moves in a company’s bonds in credit markets sometimes anticipate parallel moves in its share price.
Hot China Stocks To Invest In Right Now: Top Image Systems Ltd.(TISA)
Advisors’ Opinion:
- [By Ethan Ryder]
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