Cheetah Mobile (NYSE:CMCM) Releases Earnings Results, Misses Estimates By $0.66 EPS

Cheetah Mobile (NYSE:CMCM) announced its quarterly earnings data on Wednesday. The software maker reported $0.00 earnings per share for the quarter, missing analysts’ consensus estimates of $0.66 by ($0.66), FiscalAI reports. The firm had revenue of $37.56 million for the quarter, compared to analysts’ expectations of $222.62 million. Cheetah Mobile had a negative net margin of 22.66% and a negative return on equity of 4.37%.

Here are the key takeaways from Cheetah Mobile’s conference call:

• Cheetah Mobile said 2026 is a transition year as it shifts from a traditional internet company toward AI-enabled applications, AI agents, and robotics, and management believes the business is moving from capability-building to early commercial validation.
• Robotics and others revenue surged 176% year over year to RMB 51 million, or about 20% of total revenue, while the segment’s adjusted operating loss narrowed 57%, and management expects strong growth to continue through 2026.
• Cloud and AI infrastructure revenue grew 68% year over year as enterprise demand rose for AI cloud and token management services; daily average token usage has climbed more than 20x since January and exceeded 400 billion in May.
• Total revenue was roughly flat year over year at RMB 259 million, but the company’s operating loss widened mainly because overseas advertising policy changes hurt the advertising agency business and pressured global enterprise services profitability.
• Management emphasized that the company still has a solid financial base, including about $186 million in cash and over $100 million in long-term investments, which it says supports continued AI and robotics investment while both internet services and global enterprise services remain profitable.

Cheetah Mobile Price Performance

Shares of Cheetah Mobile stock opened at $4.28 on Wednesday. The business’s 50 day simple moving average is $5.19 and its two-hundred day simple moving average is $6.12. The stock has a market capitalization of $129.62 million, a P/E ratio of -3.42 and a beta of 1.77. Cheetah Mobile has a one year low of $3.92 and a one year high of $9.44.

Hedge Funds Weigh In On Cheetah Mobile

A number of large investors have recently bought and sold shares of the stock. Dimensional Fund Advisors LP purchased a new position in shares of Cheetah Mobile during the fourth quarter valued at approximately $69,000. Nomura Holdings Inc. purchased a new position in shares of Cheetah Mobile during the third quarter valued at approximately $94,000. Goldman Sachs Group Inc. increased its stake in shares of Cheetah Mobile by 17.5% during the fourth quarter. Goldman Sachs Group Inc. now owns 23,131 shares of the software maker’s stock valued at $139,000 after buying an additional 3,443 shares during the period. Finally, Jane Street Group LLC increased its stake in shares of Cheetah Mobile by 852.7% during the fourth quarter. Jane Street Group LLC now owns 30,142 shares of the software maker’s stock valued at $181,000 after buying an additional 26,978 shares during the period. 0.41% of the stock is owned by hedge funds and other institutional investors.

Analyst Upgrades and Downgrades

Separately, Weiss Ratings reissued a “sell (d-)” rating on shares of Cheetah Mobile in a report on Monday, April 20th. One research analyst has rated the stock with a Sell rating, Based on data from MarketBeat, the company currently has an average rating of “Sell”.

About Cheetah Mobile

Cheetah Mobile Inc operates as a mobile internet company primarily focused on developing and distributing utility and entertainment applications for smartphones and tablets. Its portfolio includes well-known security and optimization products such as Clean Master, Security Master and Battery Doctor, alongside consumer-oriented offerings in mobile gaming and content discovery. The company’s software solutions are designed to enhance device performance, improve privacy protection and deliver engaging digital experiences for end users.

Founded as the mobile internet division of Kingsoft in 2010, Cheetah Mobile spun off as an independent, publicly traded company in late 2014.