Chinese Internet Stocks Fell on Light Volume (BIDU, SINA, RENN, DANG, YOKU, SOHU, QIHU, CTRP)

Published on Tuesday, 06 December 2011 23:31 Written by Gerard Lerod

New York, December 6^th (TradersHuddle.com) – Chinese Internet Stocks fell underperforming the broad market index. Technology stocks underperformed in the session, with the NASDAQ actually closing in negative territory. Concern over S&P warning of a possible downgrade on most of the euro zone weighed on riskier assets, while trading volume in general in the space was light.

Baidu (NASDAQ:BIDU), the owner of the largest Chinese Internet search engine, tumbled 2.5% to $131.25 on light trading volume, with about half of the average trading volume shares exchanging hands. Baidu just closed above its 200day moving average at $135.17. Last week the stock jumped 11.8%.

Sina Corp. (NASDAQ:SINA), the Chinese online media company and owner of the Weibo microblogging service commonly referred to as the Twitter of China, tumbled 5.47% to $62.72 after trading as low as $62.60. Last week, Deutsche Bank upgraded the stock to a Buy from Hold.

Renren (NYSE:RENN), the leading real name social networking Internet platform in China, gained 0.55% to $3.66 on light trading volume, with 2.9 million shares exchanging hands. Last week, the stock logged a new all-time low of $3.38.

Dangdang (NYSE:DANG), the ecommerce site that it’s known as the Chinese Amazon.com, fell 2.70% to $4.68 after trading as low as $4.57. The stock declined on a trading volume that was less than half of the average trading volume. Last month, Dandang logged a new all-time low at $4.36.

Youko.com (NYSE:YOKU), the Chinese version of you tube, was under heavy pressure also on light trading volume. Shares tumbled 7% to $18.98. Last week, Goldman Sachs had positive comments for the stock. Youko had a difficult November, falling 14.5% after the company missed earnings expectations on revenues that were above consensus, while it provided downside revenue growth guidance for the current quarter.

Sohu.com (NASDAQ:SOHU), the Chinese search engine and Internet portal, fell 1.1% to $52.04 after trading as high as $53.33, forming a bearish engulfing candlestick chart pattern. The stock has calculated support at $46.84 and resistance at $54.55. Last week, UBS upgraded Sohu to a Buy from Hold.

Qihoo 360 Technology (NYSE:QIHU), the provider of Internet and mobile security products in China, jumped 3.35% to $18.21, rebounding from yesterday’s loss that came after a negative report from Citron Research. The company issued a press release, in which it responded to the negative report saying the report contains numerous errors of fact and misleading speculations.

And Ctrip.com (NASDAQ:CTRP), the one-stop China travel service provider, fell 2.40% to $25.15 on strong trading volume, as concerns over declining margins weighed on the session. For November the stock lost 25.4% despite posting strong earnings above consensus, but still investors were not satisfied.