Youku.com (YOKU)

[Gastrodamas]

May buy in January. Really who knows where this goes at first thinking it might follow the chart pattern of bidu but the market conditions may be different now so its any bodys guess where this goes and that goes for its sister stock to.

[catty]

East: Great looking dog.

[catty]

Gas: Why January?

[eastunder]

Finviz is finally acknowledging the symbol.

http://finviz.com/quote.ashx?t=yoku

[Gastrodamas]

Cannot wait for January.

[Gastrodamas]

Still falling, I wonder when some news will come out?

[Gastrodamas]

Bottom 3 months ahead of schedule.

[eastunder]

Very interesting Friday...

What do you think that is saying?

[Gastrodamas]

http://www.google.com/url?sa=t&source=web&cd=2&sqi=2&ved=0CCYQFjAB&url=http%3A%2F%2Fbuzz.youku.com%2F&ei=NbcLTY7tDonknQeJvKGwDg&usg=AFQjCNER75EB9kwposn-ciwRRltfErZnEg&sig2=OzHVKHF7-kmLBsFeAbMBtA Miss puff's Goldfish Bowl {Sex In The City} YOKU

[eastunder]

Youku.com and Macau.com Team Up to Promote Videos of Macau

Press Release Source: Ignite Media Group On Friday December 17, 2010, 8:00 am EST

http://finance.yahoo.com/news/Youkucom-and-Macaucom-Team-Up-prnews-1401852503.html?x=0&.v=1

MACAU, China, Dec. 17, 2010 /PRNewswire-Asia/ -- Ignite Media Group (www.igniteasia.com), the parent company of Macau's premier online travel company, Macau.com (www.macau.com), has entered into an exclusive sales agreement in Macau with Youku.com (NYSE:YOKU - News), the Number 1 Chinese video hosting service. The goal of the partnership is to ratchet up the number of travelers headed to Macau as a trip destination.

To that end, Macau.com and Youku.com will work with advertisers and the Macau Government Tourist Office to increase the online volume and quality of interactive videos about Macau. The online medium and video format are an increasingly influential trip-planning tool and tourism leaders want Macau to fully benefit from it.

"Youku.com has been a visionary leader in promoting online video infotainment in China and has a strong audience base. The partnership with Ignite Media Group will help advertisers capture the eyes of people intent on traveling to Pearl River Delta destinations," says Carrie Law, Director of Business Development for Ignite Media Group.

Leo Liang, Account Director for International Clients of Youku.com also sees great value in the agreement. "By synthesizing our creativity, production skills, client relationships and a platform of solid traffic, we definitely enable our advertisers to do more with less."

Youku.com has previously partnered successfully with tourism boards in Hong Kong and Singapore, building those cities as travel destinations though advertising campaigns linked to interactive video formats. Those successes are the model for Youku.com's partnership in Macau.

ABOUT IGNITE MEDIA GROUP

Ignite Media Group is a growing family of online, out-of-home and print enterprises dedicated to promoting Macau as an entertainment destination in Asia. The Group includes 14 Macau brands: Macau.com, Youyazhou.com, Destination Macau, The Macau Guide, Directel Macau, EC-Ad, Aomen.tv, PRISM, Qoos, Vproperty.mo, macauHR, Engage, New Macau Box Office, and Ignite Digital Asia. Its operation has expanded to Greater China in Hong Kong and Guangzhou.

ABOUT MACAU.COM

Macau.com is the premier web portal and online travel agency for hotel accommodation, shows, and packaged tour products for Macau, Hong Kong and Southern China. With a secure and technologically advanced online booking engine, Macau.com's services are targeted at Macau-bound travelers coming from Mainland China, Hong Kong and high growth-tourist areas including Southeast Asia, Taiwan, Australia and North Asian markets such as Japan and Korea. Macau.com is a member of Ignite Media Group, Macau's leading media group with leadership positions in out-of-home, online, print media and publishing, and entertainment.

ABOUT YOUKU.COM

Youku.com, the No.1 Chinese Internet television company based in Beijing, reported up to 203 million monthly visitors in September. What's more, it has just announced that its initial public offering began trading on the New York Stock Exchange (NYSE:YOKU - News) on December 8 raising $203 million so it can launch wireless and web-based subscription services and diversify its revenue sources. It is the first online video company to launch an IPO on the NYSE.

[eastunder]

This one?

to 29.71?

Last five days



Since IPO

[Gastrodamas]

See that dip below 30 on the Chart, a bad Omen.

[Gastrodamas]

I hate Fridays.

[eastunder]

YOKU

The little rise before the next step down, Gas?

[Gastrodamas]

Looks identical to the day before yesterday. Can't wait for earnings 3+ months.

[deerfollower]

I don't know why I even look at this or that for that much try and trade this crap.

[eastunder]

Beats me - but hey! Happy for those who are trading it.

[pennywise1_2001]

I will be a son of a b#$%@, this has to be a dead cat bounce, I have been watching yoku all day and this mirrors last week. WTF?

[Gastrodamas]

Looks like I was wrong today. Me big Dummy.

[eastunder]

Identical? Well in that case... looks like a Flat line then lower low is in store? LOL.

Which we kinda expect anyway for a little bit.

I was just curious.

Thanks, Gastrodamas.

[Gastrodamas]

Looks identical to yesterday so far.

[eastunder]

G,

I'm not a day trader - but I have this little odd habit of tracking gaps - even intradays. So, here I am thinking morning fill on the intraday gap will happen and I wonder if there will be a little rise up afterwards? Any thoughts on the success of a buy at a gap fill and a trade later in the day above 31.61 - as a possibility? Stock is currently at 31.17.

It would take a 29.98 to fill the intraday -

[Gastrodamas]

http://www.google.com/url?sa=t&source=web&cd=2&ved=0CCkQFjAB&url=http%3A%2F%2Fen.wikipedia.org%2Fwiki%2FCloak_and_dagger&ei=L9wHTa-pMciinQfb_uWvDg&usg=AFQjCNGRHsRxPmvabf_VVhkN0Fg1sSERRg&sig2=m65u42VphsMIaANXDo2PmA

[Gastrodamas]

Wow... Chart Looks like a Cloak and Dagger. LOL

[Gastrodamas]

Bottom line might be that this stock is a wash for 2010. When is the Chinese New Year? 2011 could be a new beginning. I am just sitting and waiting based on my limited experience it tells me to wait till 2011.

[Gastrodamas]

I believe you may be right.

[eastunder]

Im gonna stick to my thought pattern of

"it's not uncommon to go below where the street started it and closer to where the IPO began."

So $27 was the street start and 12.50 was the IPO to those savvy enough to pull some strings with their brokers.

Average of the two (for fun ) is.. $19.75

Not saying THAT will happen - but it would perk up my interest.

I expect a little bounce, don't you, before it continues on with a path down IF that's going to happen. Seems that's a fairly normal process as well. A big up, a big down, a little up and little more down than before.

A good part of this is investor psychology at the moment. People saw it at 50 - they suddenly think 29 is a 21 dollar discount and come in and buy...so there's a little rise, then those who wanted to dump - dump into that little rise and down she goes again?

I don't know. Maybe I am way off on my thoughts. I am just guessing.

Opinions?

[eastunder]

Looks like 27?

http://bigcharts.marketwatch.com/interchart/interchart.asp?symb=yoku&time=&freq=

(Highlight that area to bring it in some or switch 1 year to 10 days and take it by the minute)

[Gastrodamas]

I allready forgot what this opened at on IPO day? Still looks like the Mid twenties or the Land Down Under. The market has to have a bad Day sometime?

[eastunder]

Into the 29's. Where to now?

[Gastrodamas]

Surprised it opened up today? Bigger surprise if it holds.

[eastunder]

Two days up, two days down, what's today gonna be?

[pennywise1_2001]

I am done as well, too much downside potential..

[deerfollower]

I took my lumps today again and sold in A.M. I am done with the stock!

[pennywise1_2001]

Out in the am today, it took a while to get some buyers of my Yoku, soooo glad to be out. Good luck to anyone that bought high, looks like a pig to me for now.

[Gastrodamas]

A couple of bad days with the markets and this will hit 25.00, maybe this week.

[Gastrodamas]

Yes it was fast, maybe a bounce with some news, Mid twenties is starting to look Generous. Yoku needs some news.

[eastunder]

Getting close, aren't you?

Wow. 'Whoda thunk' that would occur so quickly, eh?

Are you seeing a little bounce in the near future and then a continuance of the drop a few days later - or are you thinking when it's done, it's done and then on up it moves??

I'm leaning towards the first part just because that is the most common action I have seen with my IPO's in the past, and I have nothing better to base it on than my own personal experience.

[Gastrodamas]

Are we there Yet?

[deerfollower]

Come on you son of *****, go up.

[eastunder]

Youku vs. Tudou vs. the Other 'YouTubes of China'
by: Shane Farley December 13, 2010

http://seekingalpha.com/article/241416-youku-vs-tudou-vs-the-other-youtubes-of-china?source=qp_article

Last week, Youku.com (NYSE: YOKU) went public with a ton of fanfare. All the big financial media outlets couldn’t stop talking about Youku, calling it the “YouTube of China” over and over again. Towards the end of the week, Youku investors got a bucket of cold water poured on their head as Wall Street actually started paying attention to Youku’s terrible financials and their ridiculous market cap, which pushed through $4.5 billion dollars on Friday morning before the stock sold off hard. Herb Greenberg from CNBC should be credited for being the first financial television reporter to actually look under the hood of Youku. He warned investors several times on Friday about the stock's valuation, puny revenues, and big (and growing) losses.

For a good review of Youku’s financial statements, take a look at the article I wrote last week or take a few moments to see a video of Herb Greenberg appearing on CNBC.

Today I want to take a look at what I think will further take the air out of the YOKU bubble. You see, the other “YouTube of China”, Tudou.com (TUDO) is set to go public at any time on the Nasdaq, and Tudou actually has better financials that Youku. Don’t get me wrong, both companies are terrible investments, in my opinion, however Tudou appears to be the better bad investment. Tudou was actually first to file their IPO papers with the SEC, but Youku got their IPO off first. Tudou could literally go public any day now.

Lets take a look at the numbers:

Youku –

Youku lost $25 million dollars for the first 9 months of 2010 on revenue of $35.1 million. Youku’s losses are actually accelerating year over year as they were just $20.1 million for the first 9 months of 2009. Great job Youku!

Tudou –

Tudou, on the other hand, reported a loss of $12.5 million dollars for the first 9 months of 2010 on revenue of $33.6 million. Additionally, Tudou’s losses year over year are actually declining. For the first 9 months of 2009, Tudou lost just under $15 million.

So, as you can see, they are neck and neck as far as generating revenues goes, however Tudou is simply a better run business with significantly smaller losses. For more information, feel free to take a look at Tudou’s registration statement.

Tudou seems to be heading in the right direction towards profitability while Youku is headed the wrong way. I expect that Tudou management will really be highlighting their better financial performance vs. Youku’s numbers when they do go public. When this happens, I’d expect a good number of Youku investors to abandon ship and buy Tudou stock….if they really feel compelled to own shares of a money losing video site in China.

I also want to point out that these firms are not even the first video sites in China to go public in the USA. Ku6 Media (KUTV) runs the popular Ku6.com video site in China. Believe it or not, people also call Ku6.com the “YouTube of China”. Ku6 also has terrible financials. Ku6 lost $12.7 million in Q3 on just $4 million in revenue.

Further more, there is an additional “YouTube of China” that users have access to invest in. It’s this little search engine company called Baidu. Baidu is the majority owner of Qiyi.com which was launched in early 2010 to take on the Youkus and Tudous of the world.

That’s got to be it, right? There can’t be anymore “YouTubes of China” traded in America, can there? Well, actually, Sina (SINA) and Sohu (SOHU) are both Nasdaq companies with huge online video businesses in China. Both of these companies make over $100 million a year in profits and have the ability to outbid the little Youkus and Toudus for professional produced content. For example, Sina just signed an exclusive deal with the NBA. They will be showing NBA games almost daily throughout the season. This is likely a deal that Youku and Tudou couldn’t afford.

So, as you can see, there are actually three pure play “YouTubes of China” that investors will have access to invest in through the Nasdaq or NYSE soon plus at least three other indirect players who are competing hard in the online video space and are cash rich (Baidu (BIDU), Sina and Sohu) .

That’s got to be it though right? There can’t possibly be any more “YouTube’s of China”? Wrong! There are actually dozens. You see, when an internet business model succeeds in the USA it gets copied over and over again in China. Some of the other “YouTubes of China” include 56.com, ouou.com, joy.cn, xunlei.com, 6.cn, Pomoho.com, ChinaOnTV.com, qyule.com, ys321.com, ppstream.com, bbsee.com, winvod.com plus dozens of others.

I want to touch on one other thing that puzzles me about Youku. The corporate structure outlined in their SEC registration statement looks very odd to me. On Friday, Tim Hanson from the Motley Fool pointed out that YOKU shareholders don’t even actually own the operating businesses in China. From what I can tell, the YOKU IPO was for a Cayman Islands holding company that owns a Hong Kong based holding company that has contractual rights to the economic interests in the Youku business. The owner of the actual operating business in China, including the Youku.com website and video operations, appears to be the wife of Youku’s CEO Victor Koo and their CFO. The wife owns 80% of the operating business and the CFO of Youku owns the remaining 20%.

The registration statement goes on to state that the wife has no management position with the holding company that YOKU shareholders own. Additionally, they say they set it up this way because the Chinese government strictly prohibits the foreign ownership of companies that provide value-added telecommunication services in China. They go on to say that they think the contracts have everything covered to ensure that YOKU shareholders get treated fairly. However, they also go on to say that

We cannot assure you, however, that we will be able to enforce these contracts. Although we believe we are in compliance with current PRC regulations, we cannot assure you that the PRC government would agree that these contractual arrangements comply with PRC licensing, registration or other regulatory requirements, with existing policies or with requirements or policies that may be adopted in the future.

I strongly encourage all investors to take a very close look at the corporate structure. I am not an attorney that specializes in setting up holding companies in multiple countries, so please draw your own conclusion. Pay attention to page 63-68 in their registration statement. Also, take a good look through the 35 pages of risks that the company outlines for investors. Page 28 has a good section about potential Youku accounting problems. Have fun reading this!

Disclosure: I am short YOKU.
******************************

(Of course he is - but there is food for thought in this piece~ Eastunder)

[PennyMatrix]

I think so, bought some more at $34, hoping that youku will bounce from here

[climbing]

Looks like bottom is establishing today at low 33's. It will be up soon that means.

[stockorpoker]

sure about that right now?? LOL .... the first week are all hype... the hype is about to be over. Is down to $33 now....!!! Might stay there for a the rest of the week.

[PennyMatrix]

Keep dreaming, pps is alot closer to 50 than it is to 20, can't see it hitting 20 anytime this year, but if it does I'll be there to load up

[stockorpoker]

well there are alot of volume right now. I think it might hit mid 20s before it pop back up to $50s again.

BOL

[eastunder]

IPO VIEW-Made in China? US tech investors want your stock
7:00 am ET 12/13/2010- Reuters
* Exchanges, bankers aggressively building China presence

* Youku debut biggest first-day pop in five years

* Chinese YouTube, Amazon encouraging others

* Chinese social networking companies likely next wave

* A 1990s tech bubble redux?

By Clare Baldwin and Melanie Lee

NEW YORK/SHANGHAI, Dec 10 (Reuters) - U.S. investors seem to have an insatiable appetite for new Chinese tech stocks, and some analysts wonder if the great tech bubble of the late 1990s is repeating itself.

Online video company Youku.com Inc <YOKU.N>, sometimes referred to as the YouTube of China, sold shares in its IPO on Tuesday, and rose 161 percent on its first day of trading, locking in the best first day returns of an IPO in five years.<ReutersLink ID='ID:nN08142271' />

Youku's revenue was up 135 percent in the first nine months of 2010 compared with a year earlier. But one thing the company does not have is profit: its net loss widened by 22.5 percent to 167 million yuan ($25.1 million) in the same period.

The U.S. has seen this before, and it did not end well.

In the late 1990s, companies with little more than a business plan were able to raise millions of dollars in initial public offerings. But in March 2000, the market started to deflate, and the Nasdaq Composite, where many tech stocks were listed, is still well below its prior peak.

Come January, the Nasdaq will have 11 employees combing China looking for new businesses to list, said Bob McCooey, head of listings for the exchange. That compares to two in the United States, he added.

"Outside of the United States it's China that is driving the IPO market," said McCooey, who also had his business cards printed in both English and Mandarin.

McCooey said when he took over as head of listings, one of the first things he did was order more lapel pins with a crossed American and Chinese flag, because he realized China was increasingly a source of U.S. listings.

China's Internet sector is red hot because it is difficult for outside competitors to overcome the political and cultural barriers to operate in the nation. The number of potential customers is massive in a country with a population of more than 1.3 billion.

With interest rates in the United States likely to stay low for some time, and economic growth expected to be tepid at best, investors are seeking higher returns in fast-growing economies.

But there are serious questions about how some of the Chinese companies that are going public now will make money.

EVERYONE'S BUYING

For now, investors are keen for these stocks. Online retailer E-Commerce China Dangdang <DANG.N>, marketed as the Amazon.com Inc <AMZN.O> of China, had more than 500 different buyers in its IPO, a source familiar with the situation told Reuters.

An IPO of that size -- $272 million -- listing in the United States would typically have only 50 or 100 buyers, the source said.

"It's everyone. Everyone bought Dangdang," the source said. Dangdang's buyers included funds in the Middle East, Asia and Europe, according to the source.

Stock in the company, which went public on the same day as Youku, soared 87 percent in its first day of trading.

Other Chinese companies are also lining up to cash in.

Tudou Holdings Ltd, another Chinese web TV service, has filed with U.S. regulators to raise up to $100 million. It will likely debut in the first quarter of 2011, a source said.

Social networking companies are likely the next wave of Chinese Internet companies to seek U.S. listings.

Oak Pacific Interactive, owner of China's largest social networking site Renren, has tapped Credit Suisse AG <CSGN.VX> and Deutsche Bank AG <DBKGn.DE> for its U.S. IPO in the first half of next year, sources told Reuters.<ReutersLink ID='ID:nTOE6B904D' />

TaoMee, a Chinese kids social networking site will conduct its "beauty parade" for investment bankers in the first quarter of 2011, while Kaixin001, another Facebook clone, is seeking a 2011 listing but has not tapped bankers, a source familiar with the situation said.

Taobao, a unit of China's largest e-commerce firm Alibaba Group and the nation's most popular consumer-oriented online e-commerce website has had informal talks with banks about a possible IPO, two sources familiar with the situation said.

"Everybody sees that this model can work," that source said. "Everyone is accelerating their schedule. They don't want to miss this window."

TROUBLE IN THE MIDDLE KINGDOM

Youku's debut show that investors are willing to put profitability on hold -- but at some point the companies will need to perform.

"Investors are buying the runway, buying what the company has predicted for 2012, 2013, rather than what has been delivered so far," McCooey said of the recent debuts. It's up to the companies to deliver profits, he added.

"We're not kingmakers," he said.

It hasn't always been this way with Chinese tech companies. China web search engine Baidu <BIDU.O> rose 354 percent in its 2005 debut but it was also profitable the day it went public.

There are also signs investors can become disenchanted in these IPOs. For example, China-based online retailer Mecox Lane Ltd. <MCOX.O> went public in October and its shares rose 56.9 percent.

But after Mecox posted quarterly results, its shares plummeted, and now trade 37.7 percent below their initial offer price. The company is being sued by its investors.

"Execution for these companies, particularly those that have seen high first day increases, is going to be really important. A lack of execution is going to put a damper on other opportunities," said Scott Cutler, head of listings at NYSE Euronext. (Reporting by Clare Baldwin in New York, Melanie Lee in Shanghai and Doug Young, Denny Thomas and Michael Flaherty in Hong Kong; Editing by Dan Wilchins and Sofina Mirza-Reid)
.

[PennyMatrix]

you obviously were not watching all the pre-market action, its down 3% now it was up 3% at one point, lets wait and see what happens at the open

[stockorpoker]

Its down 3% pre-market!!! How is that a great start? I don't think you can short this stock yet!!!

[PennyMatrix]

Yes its looking good, we will probably break through the 40's today, and if we can break the 40's won't take much to push it to 45, if it can hold up some where in the $40+ range today we may see this pop above 50 dollars this week

Go yoku $$$$$$$$$$$$$$