Our advice tool can cross-verify current
analyst consensus on Sohu and to analyze the firm potential to grow in the current economic cycle.
This firm dividends can provide a clue to the current value of the stock. Sohu is not expected to issue dividends this year as it is trying to preserve or re-invest any of the funds available for distribution to stakeholders.
Typically, a company's
financial statements are the reports that show the
financial position of the company. There are three main documents that fall into the category of financial statements. These documents include SohuCom income statement, its balance sheet, and the statement of cash flows. Potential SohuCom investors and stakeholders use financial statements to determine how well the company is positioned to perform in the future. Although SohuCom investors may use each financial statement separately, they are all related. The changes in SohuCom's assets and liabilities, for example, are also reflected in the revenues and expenses that we see on SohuCom's income statement, which results in the company's gains or losses. Cash flows can provide more information regarding cash listed on a balance sheet, but not equivalent to net income shown on the income statement. Please read more on our
technical analysis and
fundamental analysis pages.
The goal of SohuCom
fundamental analysis is to do accurate financial forecasts. There are several possible objectives to fundamental analysis, such as projecting of SohuCom performance into the future periods or doing a reasonable stock valuation. The intrinsic value of SohuCom shares is the value that is considered the true value of the share. If
the intrinsic value of SohuCom is higher than its market price, buying is generally recommended. If it is equal to the market price, it is recommended to hold; and if it is less than the market price, then one should sell all shares SohuCom. Please read more on our
fundamental analysis page.
How effective is SohuCom in utilizing its assets?
SohuCom reports assets on its Balance Sheet. It represents the amount of SohuCom resources that either has an existing economic value or will provide some form of benefits in the future. By effectively utilizing its assets, SohuCom aims to generate revenue, control costs, drive operational efficiency, and enhance profitability. Optimizing asset utilization helps maximize shareholder value and maintain a competitive position in the Interactive Media & Services space. To get a better handle on how balance sheet or income statements item affect SohuCom volatility, please check the breakdown of all its
fundamentals.
Are SohuCom Earnings Expected to grow?
The
future earnings power of SohuCom involves the interaction of many company-specific, industry, and economic forces. Earnings estimates embody investors' opinions of SohuCom factors such as sales growth, product demand, competitive industry environment, profit margins, and cost controls. SohuCom
stock prices adjust as these expectations change or are proven wrong. The main thing to remember is that equities with high expected earnings growth tend to underperform the market because it is usually difficult to meet the market's high expectations. Companies with low earnings expectations tend to do better than expected. Please use our latest analysis of SohuCom
expected earnings.
SohuCom Gross Profit
SohuCom Gross Profit growth is one of the most critical measures in evaluating the company. The Gross Profit growth rate is calculated simply by comparing SohuCom previous period's values with its current period's values. Each time period you're measuring should be of equal lengths the increase or decrease, in a company's Gross Profit between two periods. Here we show SohuCom Gross Profit growth over the last 10 years. Please check SohuCom's
gross profit and other
fundamental indicators for more details.
What is the case for SohuCom Investors
Although in the United States, the Securities and Exchange Commission has enforced strong rules to prevent insiders from engaging in insider trading, finding insiders among active shareholders of Sohu is not uncomon. Institutional investor usually refers to an organization that invests money in Sohu on behalf of clients or other money managers. Buying and selling of large positions of Sohu stock by institutional investors can create supply and demand imbalances that result in sudden price moves of Sohu stock. Let's take a look at how the ownership of Sohu is distributed among investors.
Ownership Allocation
Sohu Inc shows a total of thirty-nine million two hundred seventy thousand
outstanding shares. Sohu Inc maintains significant amount of outstanding shares owned by
insiders. An
insider is usually defined as a CEO, other corporate executive, director, or
institutional investor who own at least 10% of the company outstanding shares. Since such a large part of the company is owned by insiders, it is advisable to analyze if each of these insiders have been buying or selling the stock in recent months. Please note that no matter how much assets the company owns, if the real value of the company is less than the current market value, you may not be able to make money on it.
| Retail Investors24.81% | Insiders27.97% | Institutions47.22% |
| Retail Investors | 24.81 |
| Insiders | 27.97 |
| Institutions | 47.22 |
| 2020 | 2021 (projected) |
Revenues USD | 1.74 B | 1.88 B | Revenues | 749.89 M | 989.22 M |
Asset Utilization
The asset utilization indicator refers to the revenue earned for every dollar of assets a company currently reports. Sohu has an asset utilization ratio of 24.65 percent. This implies that the company is making $0.25 for each dollar of assets. An increasing asset utilization means that Sohu Inc is more efficient with each dollar of assets it utilizes for everyday operations.
| Current Assets1.9 B | Assets Non Current934.8 M | |
| Current Assets | 1.95 Billion | 64.04 |
| Assets Non Current | 934.81 Million | 30.7 |
| Goodwill | 160.29 Million | 5.26 |
Will Sohu newest gain continue?
Sohu newest standard deviation boosts over 3.78. Sohu Inc shows above-average downside volatility for the selected time horizon. We advise investors to inspect Sohu Inc further and ensure that all market timing and asset allocation strategies are consistent with the estimation of Sohu future alpha. Understanding different market volatility trends often help investors to time the market. Properly using volatility indicators enable traders to measure Sohu's stock risk against market volatility during both bullying and bearish trends. The higher level of volatility that comes with bear markets can directly impact Sohu's stock price while adding stress to investors as they watch their shares' value plummet. This usually forces investors to rebalance their portfolios by buying different stocks as prices fall.
Our Final Perspective on Sohu
Whereas many other companies under the internet content & information industry are still a bit expensive, Sohu may offer a potential longer-term growth to private investors. On the whole, as of the 10th of April 2021, we believe that at this point, Sohu is not too volatile with
below average probability of distress within the next 2 years. From a slightly different point of view, the entity appears to be
undervalued. Our actual 30 days buy-or-sell advice on the firm is
Hold.
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Vlad Skutelnik is a Macroaxis Contributor. Vlad covers stocks, funds, cryptocurrencies, and ETFs that are traded in North America, focusing primarily on fundamentals, valuation and market volatility. He has many years of experience in fintech, predictive investment analytics, and risk management.
View Profile This story should be regarded as informational only and should not be considered a solicitation to sell or buy any financial products. Macroaxis does not express any opinion as to the present or future value of any investments referred to in this post. This post may not be reproduced without the consent of Macroaxis LLC. Macroaxis LLC and Vlad Skutelnik do not own shares of SohuCom. Please refer to our
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