Three China Internet Stocks Rated "Outperform" By Goldman Sachs (March 13, 2012)
THREE CHINA INTERNET STOCKS RATED "OUTPERFORM" BY GOLDMAN SACHS
Goldman Sachs' analysts cover 11 China Internet stocks, only three of which are rated positively (Outperform) right now: real estate website Soufun (SFUN) with a $25 price target, online game operators Giant Interactive Group (GA) ($8.80 price target) and Perfect World (PWRD) ($5.23 price target.)
DAILY RESEARCH RECAP
AirMedia Group (AMCN): Morgan Stanley says AMCN 1Q outlook is "soft," but company on track for profit upswing in second half of 2012.
China Eastern Airlines (CEA): Citigroup says CEA's February operating data "pointed to weakened demand."
China Mobile Ltd. (CHL): Mirae Asset Securities says CHL facing intensifying competition but nearing "end of tunnel."
HiSoft Technology International (HSFT): BMO upgrades HSFT to Outperform after meeting with HSFT CEO in NYC, says HSFT is "out of the penalty box."
Renren Inc. (RENN): Macquarie says "challenges persist" for RENN.
ShangPharma Corp (SHP): Oppenheimer & Co. says SHP's growth outlook is unchanged, but near-term margins are under pressure.
Suntech Power Holdings (STP): Nomura says STP needs faster cost reductions.
7 Days Group Holdings Limited (SVN): William Blair says SVN's 4Q results and 2012 outlook are "solid." Citigroup says SVN's 2012 growth outlook is "healthy."
WuXi PharmaTech (WX): Piper Jaffray says WX 4Q results "decent," 2012 revenue guidance "healthy," reiterates Overweight rating.
Youku Inc. (YOKU): Piper Jaffray says $YOKU acquring $TUDO removes a major competitor in content acquisition, "is the right move" to "reach meaningful profitability."
China Southern Airlines Limited (ZNH): RBS says ZNH "still a good way to play domestic travel."
