(SOHU) Sohu.Com - Ratings and Ratios

Sohu.com Limited is a multifaceted online media and gaming company operating primarily in China, offering a diverse array of services and products across various platforms, including PCs and mobile devices. The companys operational framework is segmented into Sohu and Changyou, catering to a broad spectrum of consumer interests through online media content, content distribution, and online gaming.

The Sohu segment is pivotal in providing online media content and services, leveraging platforms such as the Sohu News App, Sohu Video App, and the web portal www.sohu.com to reach its audience. The company generates revenue through various channels, including online advertising on its platforms, such as the popular gaming website 17173.com, paid subscription services, and livestreaming content. Additionally, Sohu.com engages in the development and distribution of online games, encompassing both PC and mobile games, further diversifying its revenue streams.

Analyzing the , the stocks current price is $10.32, indicating a potential buy signal given its proximity to the SMA20 at $9.88 and a significant distance from the SMA50 and SMA200, suggesting a possible undervaluation. The ATR of 0.75, translating to a 7.22% volatility, indicates moderate price swings, which could be capitalized upon through strategic trading. The stocks 52-week range, with a high of $17.05 and a low of $7.91, underscores its volatility and potential for significant price movements.

From a perspective, Sohu.coms market capitalization stands at $346.05M USD, with a forward P/E ratio of 9.13, suggesting that the stock may be undervalued relative to its future earnings potential. However, the absence of a trailing P/E ratio and a negative RoE of -11.64% indicate current operational challenges and potential inefficiencies in generating profits from shareholder equity.

Forecasting the future performance of SOHU involves integrating both technical and fundamental analyses. Given the current technical indicators and fundamental data, a potential forecast could involve a short-term trading strategy capitalizing on the stocks volatility, with a longer-term investment thesis centered on the companys potential for growth in the Chinese online media and gaming sectors. A key level to watch would be the stocks ability to breach and sustain above the SMA50 at $11.78, which could signal a reversal of the current downtrend and potentially pave the way towards the 52-week high of $17.05. Conversely, failure to hold above the SMA20 could indicate further downside risk, potentially testing the 52-week low.