SINA Shares Jumped: What You Need to Know

Updated

Although we don't believe in timing the market or panicking over market movements, we do like to keep an eye on big changes -- just in case they're material to our investing thesis.

What: Shares of Chinese Internet company SINA (NAS: SINA) jumped 13% today after the company got a vote of confidence from analysts.

So what: Analysts at Brean Murray and Roth Capital both reiterated buy recommendations and kept price targets at $132 and $110, respectively. SINA may have seen some residual effect from having Perfect World's name being dragged through the mud recently, so this is reassuring to investors and both companies are up today.

Now what: Shares are really just back to where they were last week, so I'm not sure I would read too much into the moves. Chinese stocks are prone to this kind of volatility, with investors skittish about many small caps in the country. I'm not too worked up over the drop in recent days or the recovery today and would look for long-term value if I were buying shares. Analysts on Wall Street and our own Stock Advisor newsletter service think the company is a long-term buy.

Interested in more info on SINA? Add it to yourwatchlist.

At the time thisarticle was published Fool contributor Travis Hoium has no position in any company mentioned. You can follow Travis on Twitter at @FlushDrawFool, check out his personal stock holdings, or follow his CAPS picks at TMFFlushDraw.Motley Fool newsletter services have recommended buying shares of SINA. Try any of our Foolish newsletter services free for 30 days. We Fools don't all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.

Copyright © 1995 - 2012 The Motley Fool, LLC. All rights reserved. The Motley Fool has a disclosure policy.

Advertisement