SINA (NASDAQ:SINA) earnings for the Chinese online media company’s third quarter of 2019 have SINA stock taking a dive on Thursday. This is despite the company’s adjusted earnings per share of 94 cents. That blows past Wall Street’s estimate of 59 cents. Revenue of $561.45 million is also safely above analysts’ estimates of $555.69 million.
Now for a more in-depth look at the SINA earnings for Q3 2019.
- Adjusted EPS is up 1.08% YoY from 93 cents.
- Revenue for the quarter is up close to 1% from $557.20 million in Q3 2018.
- Income from operations of $138.67 million is an 8.82% increase over $127.43 million from the same time last year.
- The SINA earnings report also sees net income come in at $106.69 million.
- That’s a 21.91% drop from its net income of $136.62 million in the same period of the year prior.
It looks like SINA earings were a homerun this quarter, so what exactly has SINA stock down today? To understand the drop we have to look at Weibo (NASDAQ:WB) and its guidance update that came out earlier today.
Weibo’s earnings report from today has it expecting revenue growth to be flat to up 3% in the fourth quarter of 2019. This has the midpoint of that range below Wall Street’s estimate. Why does this matter to SINA stock? That’s because SINA owns a majority stake in WB stock.
SIN stock was down 17.71% and WB stock was down 18.09% as of Thursday afternoon.
As of this writing, William White did not hold a position in any of the aforementioned securities.