Boston, MA, 03/07/2014 – SINA Corp (NASDAQ:SINA), owner of China’s largest Twitter like service, climbed the highest since November after Baidu Inc (ADR) (NASDAQ:BIDU) commented that the country’s e-commerce industry was advancing six times faster than in the U.S. Sina surged 8.5% up to $73.44 cutting down its slump this year to 13%.
Analysts at the Wall Street have rated the stock a “hold” on account of mixed factors including positives such as the company’s strength in areas like robust revenue growth, good financial position and negative factors such as disappointing return on equity.
Sina’s Weibo Unit
The China based SINA Corp (NASDAQ:SINA) was gaining 9.3% and had surged up to $72.98 on Thursday. The contributing factor was the speculation that it could introduce the Initial Public Offering of its Weibo unit in the U.S. soon. According to a PrivCo report, the company is planning to introduce an IPO for its Weibo microblogging service in June. According to the estimates cited in the report, the service could be valued up to as high as $8 billion. The service, which is generally referred to as the Chinese- Twitter is the country’s biggest microblogging outlet with as many as 61.4 million everyday active users as in December.
Other Surging Chinese Stocks
According to the Bloomberg China-US Equity Index, the most traded stocks in the U.S. of China based companies rose 1.4% to 105.09 in New York on March 3, 2014. Beijing based Baidu also increased 5.8% which is the highest for the company since August 2005. The largest China based exchange traded fund in the U.S., The iShares China Large-Cap ETF increased 1.1% to $35.38.
Other Chinese stocks also surged, some climbing their highest this year after the statement. Some of the stocks which reported a high are Yingli Green Energy Holding Co. Ltd. (NYSE:YGE) and Trina Solar Ltd. (ADR) (NYSE:TSL) which increased by as much as 11%.