Perfect World Co Ltd Receives “Buy” Rating from Bank of America (PWRD)
Perfect World Co Ltd (NASDAQ: PWRD)‘s stock had its “buy” rating restated by analysts at Bank of America in a research report issued to clients and investors on Wednesday. They currently have a $12.20 price target on the stock, down from their previous price target of $13.50.
The analysts wrote, “The company continues to suffer from a lack of new games and maturing old games. 1Q13 guidance indicates a sequential decline in revenues of its existing games of 9-13% QoQ as its flagships Zhu Xian and PW2 (together est. ~50% of 2012 total sales) reached five and six years respectively. On the other hand, new games like Swordsman and Saint Saiya won’t be able to help in the coming several months as they are expected to be launched in 2H13.”
Other equities research analysts have also recently issued reports about the stock. Analysts at Piper Jaffray cut their price target on shares of Perfect World Co Ltd to $14.00 in a research note to investors on Tuesday. Separately, analysts at Barclays Capital reiterated an “equal weight” rating on shares of Perfect World Co Ltd in a research note to investors on Tuesday. They now have a $12.30 price target on the stock, down previously from $13.50. Finally, analysts at Citigroup downgraded shares of Perfect World Co Ltd from a “buy” rating to a “neutral” rating in a research note to investors on Tuesday. They now have a $13.20 price target on the stock, down previously from $18.90.
Perfect World Co Ltd opened at 10.52 on Wednesday. Perfect World Co Ltd has a 52-week low of $8.92 and a 52-week high of $17.46. The stock’s 50-day moving average is currently $11.5. The company has a market cap of $508.5 million and a price-to-earnings ratio of 4.49.
Perfect World Co Ltd last posted its quarterly earnings results on Monday, March 11th. The company reported $2.90 earnings per share for the quarter, beating the analysts’ consensus estimate of $2.53 by $0.37. The company had revenue of $679.90 million for the quarter, compared to the consensus estimate of $680.22 million. During the same quarter last year, the company posted $0.98 earnings per share. Perfect World Co Ltd’s revenue was down 12.4% compared to the same quarter last year. Analysts expect that Perfect World Co Ltd will post $9.97 EPS for the current fiscal year.
Perfect World Co, Ltd. is an online game developer and operator in People’s Republic of China. The Company primarily develops online games based on its game engines and game development platforms.
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