Sohu.com (NASDAQ:SOHU – Get Free Report) posted its quarterly earnings results on Monday. The information services provider reported ($0.16) earnings per share (EPS) for the quarter, FiscalAI reports. Sohu.com had a return on equity of 21.60% and a net margin of 35.19%.The business had revenue of $141.28 million during the quarter.
Here are the key takeaways from Sohu.com’s conference call:
- Q1 2026 results beat guidance, with total revenue of $141 million, marketing services revenue and online game revenue both exceeding management’s prior expectations, and the company reporting a modest $4 million GAAP net loss.
- Online games remained the main growth engine, as revenue rose 6% year over year to $125 million and operating profit at Changyou increased to $66 million from $55 million a year ago.
- Marketing services stayed under pressure, with revenue down 8% year over year to $13 million and management citing cautious advertiser spending amid a weak macro backdrop and broad-based budget cuts.
- Q2 guidance points to lower profits and softer game revenue, with online game revenue expected to fall sequentially and consolidated net loss projected at $25 million to $50 million as fewer promotional activities and seasonality weigh on results.
- Management highlighted monetization from differentiated events and IP, including offline/online activations such as the Hong Kong marathon, Physics Class, K-pop, and Hanfu events, which they said are helping drive engagement, traffic, and new advertising opportunities.
Sohu.com Stock Performance
Shares of SOHU opened at $14.11 on Wednesday. Sohu.com has a one year low of $9.62 and a one year high of $17.30. The stock’s fifty day moving average is $15.54 and its 200-day moving average is $15.72. The firm has a market capitalization of $367.85 million, a price-to-earnings ratio of 1.80 and a beta of 0.42.
Hedge Funds Weigh In On Sohu.com
Analyst Upgrades and Downgrades
Several equities research analysts recently weighed in on the stock. Jefferies Financial Group set a $18.00 price objective on shares of Sohu.com in a research note on Monday. Weiss Ratings reaffirmed a “hold (c)” rating on shares of Sohu.com in a report on Tuesday, April 21st. Two analysts have rated the stock with a Buy rating and one has issued a Hold rating to the company. According to MarketBeat.com, the stock presently has an average rating of “Moderate Buy” and a consensus price target of $19.00.
About Sohu.com
Sohu.com Inc (NASDAQ: SOHU) is a Beijing-based technology and media company that operates one of China’s earliest and most comprehensive online portals. Established in 1996 by Charles Zhang, the company provides a diverse array of internet services including news, entertainment, video streaming and UGC (user-generated content) platforms. Over the years, Sohu.com has expanded its content offerings to cover topics such as finance, sports, automotive news and lifestyle, catering primarily to users across Mainland China.
In addition to its content portal, Sohu.com is active in the online advertising market, leveraging its high-traffic websites and mobile apps to deliver targeted ads for brand marketers.
Further Reading
- Five stocks we like better than Sohu.com
- HIVE Weaponizes Power for an AI Pivot
- A Deep Dive Into NVIDIA’s Latest Portfolio Moves
- Brady Corp Wires Up a Massive AI-Powered Breakout
- Why Home Depot’s Sell-Off Could Become a Huge Opportunity
Receive News & Ratings for Sohu.com Daily - Enter your email address below to receive a concise daily summary of the latest news and analysts' ratings for Sohu.com and related companies with MarketBeat.com's FREE daily email newsletter.
