Chinese Internet Stocks Review (BIDU, SINA, RENN, DANG, YOKU, SOHU, CTRP, PWRD)

Published on Wednesday, 07 December 2011 21:41 Written by Gerard Lerod

New York, December 7^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 after the late bid was not able to push it into positive territory.

Baidu (NASDAQ:BIDU), the owner of the largest Chinese Internet search engine, fell 1.46% to $129.33, extending its weekly decline and breaking below its key 200day moving average. Baidu has lost 3.5% so far this week on lighter than average volume, with only 3.5 million shares exchanging hands. 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, rebounded from its 5% plunge in the prior session. The stock gained 1.91% to $63.92 after trading as low as $60.42. 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, fell 1.64% to $3.60 after trading as low as $3.53 on light trading volume, with 2.7 million shares exchanging hands. Last week, the stock logged a new all-time low of $3.38, as it continues to struggle amid the lack of participant confidence in the space.

Dangdang (NYSE:DANG), the ecommerce site that it’s known as the Chinese Amazon.com, fell 0.64% to $4.65, turning negative for the week. 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, fell 0.63% to $18.86 after trading as low as $18.86. Youko was unable to stage a rebound from its prior session plunge of more than 7%. 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, gained 0.38% to $52.24 after it rebounded from a low of $50.61. The stock has calculated support at $46.84 and resistance at $54.55. Last week, UBS upgraded Sohu to a Buy from Hold.

Ctrip.com (NASDAQ:CTRP), the one-stop China travel service provider, fell 0.80% to $24.95, extending its weekly decline to 4.7%. The stock traded with above average volume, with 4.9 million shares exchanging hands. Ctrip continues in a downtrend since July on concerns over declining margins and competitive threats on its business.

And Perfect World (NASDAQ:PWRD), the online game developer and operator based in China, tumbled 3.3% to $11.18 after trading as low as $11.11. Year to date, Perfect World has plunged more than 52%. Last month, the stock tumbled close to 20% after the company failed to meet earnings expectations on revenues that were inline with consensus, while providing a lackluster and flat sales outlook for the current quarter.