Kumar
Jun 25, 20202 min
WUBA’s earnings report is going to provide a great insight into the Chinese job market and the overall economy.
58.com Inc. (NYSE: WUBA)
58.com Inc. operates China's largest online marketplace for classifieds. The Company's online marketplace enables local business users and consumer users to connect, share information, and conduct business.
58.com (NYSE: WUBA) is scheduled to announce Q1 earnings results on Friday, June 26th, before the market open.
The consensus EPS estimate is -$0.25 and the consensus Revenue Estimate is $317.02M (-29.5% Y/Y).
Over the last 2 years, WUBA has beaten EPS estimates 100% of the time and has beaten revenue estimates 100% of the time.
58.com has signed a deal to be taken over by a group of investors backed by private equity firms Warburg Pincus and General Atlantic for about $8.7 billion. The stock is currently at $54.82 and has traded in the range of $37.82- $69.89 in the last 52 weeks.
As per the deal, each 58.com shareholder will get $56 per American depositary share in cash, a premium of 12% to the closing price of the company's ADS on Friday
The stock has been trading closer to its proposed buyout price which is expected to close sometime in 2H20e. There is a slight possibility that the proposal could be rejected should the business recover and that the buyout price is still meaningfully lower than its peak YTD.
WUBA’s earnings report is going to provide a great insight into the Chinese job market and the overall economy.
The company is estimated to return to double-digit (10-20%) revenue growth as China emerges out of the pandemic. Online marketing which is its biggest revenue driver is expected to rebound sharply.
Source: Bloomberg estimates, Himalayas Research
Source: Bloomberg, Company, Himalayas Research
Source: Bloomberg estimates, Himalayas Research
Happy Thursday Everyone!