Market Overview

Analysts, Investors In The Dark On NQ Mobile

Analysts, Investors In The Dark On NQ Mobile

NQ Mobile Inc (NYSE: NQ) has analysts and investors in the dark about its performance ahead of plans to unveil results for no less than its three most recent three quarters on Thursday night.

Rosenblatt Securities Jun Zhang said that regardless of the numbers, there isn't much downside risk lurking in recent results.

The Chinese Internet service provider, accused of fraud more than a year ago by short-seller Carson Block's Muddy Waters LLC, is off more than 65 percent year-to-date.

NQ shares closed Thursday at $5.03, up 3.5 percent. In the after-hours session, share were up 3.4 percent at $5.20.

Zhang said the company's release of its 2013 audited results in October after a series of painful delays have already put to rest fraud allegations.

"[It] just says the company is clean, no matter what," Zhang said.

The December 10 departure of NQ's co-chief executive Henry Yu Lin is "a tough thing to see, even if they give you the excuse of it was not related to the company,” Dinsmore Capital's James Dinsmore told Benzinga.

NQ said Lin left for "family reasons."

Dinsmore, a top 10 shareholder in NQ Mobile, said he's "not necessarily bullish," but called the release of recent results "a step in the right direction" toward regaining investor confidence.

But since the company hasn't posted results in nearly a year, regaining that confidence will require a "re-education" of investors, Topeka analyst Frederick Ziegel told Benzinga.

"The story is going to be dramatically different than it was a year ago," Ziegel said, adding that without recent numbers he "has no idea" how the company is performing.

“My guess is revenues will be higher than people had thought previously," Ziegel said, "and I suspect margins will be lower.”

Latest Ratings for NQ

May 2015Initiates Coverage onBuy
Nov 2013MaintainsBuy
Nov 2013MaintainsBuy

View More Analyst Ratings for NQ
View the Latest Analyst Ratings

Posted-In: Dinsmore Capital Frederick Ziegel James DinsmoreAnalyst Color Short Sellers Previews Analyst Ratings Trading Ideas


Related Articles (NQ)

View Comments and Join the Discussion!

Latest Ratings

TORCCantor FitzgeraldDowngrades3.0
CIDMCanaccord GenuityMaintains1.5
TDGCanaccord GenuityMaintains620.0
DLPNCanaccord GenuityMaintains1.6
View the Latest Analytics Ratings
Don't Miss Any Updates!
News Directly in Your Inbox
Subscribe to:
Benzinga Trading Daily
Get pre-market outlook, mid-day update and after-market roundup emails in your inbox.
Market in 5 Minutes
Everything you need to know about the market - quick & easy.
Daily Analyst Rating
A summary of each day’s top rating changes from sell-side analysts on the street.
Thank You

Thank you for subscribing! If you have any questions feel free to call us at 1-877-440-ZING or email us at

Cintas Beats Q2 Expectations, Shares Pop Higher

Gladstone Land Announces Winning a $17M Farm at Auction