UPDATE: Morgan Stanley Reiterates On Sohu.com On In-Line Sales, Narrowed Losses

In a report published Monday, Morgan Stanley analyst Philip Wan reiterated an Underweight rating on Sohu.com SOHU, but removed the $53.00 price target. In the report, Morgan Stanley noted, “2Q total ad sales grew 49% YoY to US$218mn, in line with our estimates. Brand ad revenue expanded 33% YoY (guidance up 30 35%) to US$133 (~33% of Sohu's total revenue), driven by solid performance from its online video and 17173 ad businesses.Search and other revenues jumped 84% YoY to US$85mn (21% of total,vs. 14% a year ago), helped by increasing traffic and monetization.” Sohu.com closed on Friday at $57.40.