2024-01-10 12:42:38 ET
iQIYI ( NASDAQ: IQ ) shares were on track for their seventh consecutive sessions of losses on Wednesday, as they fell 1.5% to $4.41 in afternoon trade, its lowest since November 30 last year.
The Beijing-based video streaming platform lost about 7% in the preceding six sessions. Overall, the stock has lost 25% in the last one year, compared to the 22% rise of the broader S&P 500 Index.
The stock closed 1.5% low on Tuesday at $4.48.
December has been a favourable month for the company, with 13 sessions in green and six sessions in red.
Looking at Seeking Alpha's Quant Rating, IQ has a Hold rating with a score of 3.18 out of 5. The company received A for profitability and growth prospects, while the score has been dragged down by a C- in momentum.
Turning to the Wall Street community, 14 analysts gave IQ a Strong Buy, while two is Buy on the stock. Eight analysts have given the stock a Hold recommendation, and none recommended Sell or Strong Sell.
Seeking Alpha analysts are bullish and see the stock as a Buy.
A Seeking Alpha analysis by Nikolaos Sismanis pointed out that IQ’s recent quarters have seen a remarkable turnaround, marked by consecutive positive free cash flows and a shift to profitability.
However, JPMorgan recently downgraded rating on the firm noting that it sees limited catalysts. The analysts are also cautious as volatility in the number of memberships seems higher than they expected and advertising revenue seems to be more impacted compared to other ad driven content platforms amid mediocre consumption sentiment.
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iQIYI set for seventh consecutive sessions of losses