Sina Lifts Off on Weibo IPO, Bullish Comments from Stifel

On Thursday, Stifel Nicolaus lowered the price target for Sina Corp SINA from $80 to $100, which is still much higher than the current price of $56.27. Analyst Zim Yin maintained a Buy rating and made some bullish comments on the shares. Shares of Sina are up 6.3 percent. The stock is also getting a boost from Weibo's WB first day of trading, which is showing a 27 percent gain. Yin calculates that a $1 move in the price of Weibo equates to a $1.74 move in the price of Sina. The analyst calculates the value of Sina's Chinese internet portfolio at $860 million or $12.98 per share. Yin believes a sum-of-the-parts analysis of Sina supports a $80 price target and “reflects a valuation multiple of 6.1x the estimated sustainable adjusted EBITDA of the company's core portal business.” Shares of Weibo opened at 11:59 a.m. EST at $16.27 after being priced at $17 last night. Upon opening, the shares launched higher. Sina had been trending lower for an hour prior to the open for Weibo, but popped slightly ahead of the Weibo open. Both stocks raced higher, trading very closely together.