Notable Analyst Upgrades, Downgrades and Comments
Earn exceptional risk-adjusted returns with Sumfolio.com's quarterly value stock picks!
IMAX Corporation (NASDAQ:IMAX), Advent Software, Inc. (NASDAQ:ADVS), and Sohu.com Inc. (NASDAQ:SOHU) are three notable analyst upgrades, downgrades and comments made during today’s session.
Is Avatar Good or Bad for IMAX?
IMAX Corporation (IMAX, Free Analysis), an entertainment company famous for its large format film presentations, is seeing a lot of attention after Avatar’s famous debut on the big screen. Some analysts, like Roth Capital, have raised their estimates for the company, while others, like Merriman, believe that most of Avatar’s box strength is already priced into the stock.
Roth Capital raised their target estimate from $19 to $21 per share, reflecting higher expectations due to Avatar’s success and the increased likelihood that the company will execute additional JV theater installations in 2010. Meanwhile, Merriman contends that Avatar’s success is already priced in and that an increase in 3D screens could eat into market share.
Advent Software Looks Strong in 2010
Advent Software, Inc. (ADVS, Free Analysis), an automated workflow software developer, reported stronger-than-expected earnings for the fourth quarter, which led several analysts to upgrade the stock. JMP Securities believes that the company has a strong 2010 bookings outlook and maintains an Outperform rating on the stock, while Needham recommends buying the stock now as the stock remains inexpensive despite rebounding fundamentals.
During the fourth quarter, Advent Software reported earnings per share of $0.28 on revenues of $66.3 million, compared to estimates of $0.30 per share on $65.9 million in revenues. However, the company sees first quarter revenues coming in at $65-67 million versus a $37.9 million consensus, and full year revenues of between $272-280 million versus a consensus fo $285.22 million.
Sohu.com’s Lackluster Quarter Sparks Downgrades
Sohu.com Inc. (SOHU, Free Analysis), an Internet company in China, reported worse-than-expected earnings that helped to spark a number of downgrades. PacCrest found the company’s ad revenue weak in the fourth quarter, believes the disappointment is company-specific, and lowered its 2010 earnings estimate to $3.51 per share from $3.68 per share. Meanwhile, RBC Capital believes that brand advertising needs to ramp up in order to justify investment.
During its fourth quarter, Sohu.com earned $0.92 per share on $135.8 million in revenues, versus analyst estimates of $0.91 per share on $137.4 million in revenues. Meanwhile, the company forecast earnings of between $0.78-0.83 per share on revenues of $123-128 million for the first quarter, versus consensus estimates of $0.88 per share on revenues of $139.93 million.
Join Now, It's FREE!
Membership Benefits
- Memebers' Only Newsletter - Our premium members' only newsletter contains unique stock picks and market commentary not available on-site.
- Unlimited Traders' Forum Access - Members receive access to members' only portions of the forum that aren't viewable by the public, along with the ability to post on our forum.
- Free Educational Resources - Members have exclusive access to our free educational materials, as well as discounted prices on our premium educational materials.
