News 
Market Data 
Discover
Register for free to join our community of investors and share your ideas. You will also get access to streaming quotes, interactive charts, trades, portfolio, live options flow and more tools.
MOMO buy 35.83
inverted head and shoulders bottom
macd zero crossup
bull flag
volume is starting to pick up
gap higher
hidden bullish divergence
normal chart
log chart
MOMO got some momo 
It This It?
RSI(14) 27.64
It will not stay under 30 for long.
I added at EOD. I will wait and see now.
Why Momo, Inc. Stock Fell 18.7% in September
Do sell-offs point to a buying opportunity in this Chinese social media company?
Keith Noonan (TMFNoons) Oct 10, 2017 at 7:19AM
What happened
Momo Inc. (NASDAQ:MOMO) stock lost 18.7% of its value in September, according to data from S&P Global Market Intelligence. The Chinese social media company's seemingly impressive earnings release in August was followed by sell-offs that carried through to September as investors weighed slowing growth against the stock's premium valuation.
The chart below tracks Momo stock's performance over the last three months.
Stock chart showing Momo stock decreasing 19.8% over the last three months.
So what
Video accounted for 83% of the company's sales last quarter, but not every aspect of the company's streaming business is delivering growth. The company added 6.1 million new monthly active users from its March-ended quarter to its June-ended quarter, reaching 91.3 million, however the number of paying live-stream viewers stayed flat at 4.1 million.
Hosting and serving videos is cost intensive, so indications that Momo is having trouble expanding its paying user base, along with comments from management that overall engagement was roughly flat, could signal a substantial growth slowdown in the near future. The company's operating expenses have already grown faster than sales in its last two quarters, further complicating the picture.
On the other hand, paid subscriptions are not the company's only, or most important, revenue stream. Even without paid-user growth, the company's average revenue per monthly active user increased nearly 160% year over year last quarter.
Now what
Momo shares trade at roughly 19 times forward earnings estimates. Given the company's impressive growth, that's a valuation that could point to a buying opportunity for investors who are willing weather potential volatility with the stock. Looking at another metric, the company's forward price-to-earnings-growth ratio is roughly 0.15 -- another indicator that suggests the stock could be a good buy at current prices.
Jump
Profit taking. I think we are good here. As long as the NASDAQ holds up.
Thank goodness!
OK to buy again ...
|
Followers
|
6
|
Posters
|
|
|
Posts (Today)
|
0
|
Posts (Total)
|
126
|
|
Created
|
01/01/15
|
Type
|
Free
|
| Moderators | |||
Momo Inc., a Chinese social media application backed by Alibaba Group Holding Ltd. (BABA), surged 26 percent on its first day of trading in New York after raising $216 million.
The shares jumped to $17.02 on Dec. 11 in New York after they were sold for $13.50, the middle of the price range. Concurrently to the initial public offering, Momo plans a private placement to shareholder Alibaba of $50 million and $10 million to classified advertising website 58.com Inc., its prospectus shows. The Bloomberg index of the most-traded Chinese stocks in the U.S. gained 0.5 percent, ending three days of declines.
The company, which generates most of its sales through membership subscription fees, had 60.2 million monthly active users at the end of September and is seeking to attract more of China's half-billion mobile Internet users. Momo's advance compares with an average 12 percent first-day gain for Chinese IPOs in the U.S. this year, data compiled by Bloomberg show.
"It has been very well received," Ella Ji, a New York-based analyst at Oppenheimer & Co., said in a telephone interview. "Alibaba as a pre-IPO investor and concurrent investor shows Alibaba's confidence in mobile-based, social products."
Alibaba took a 20 percent stake in Momo in November 2012 at an implied valuation of $100 million, according to a report by Brean Capital LLC in October. The company is planning an advertising partnership with the e-commerce company, according to its IPO filing.
