Maintain a flat rating for everyone's shares with the industry

Pacific Crown Securities today released a study to maintain a "flat" rating for Nyse:renn shares.

The following is the full report:

First-quarter results better than expected

The first quarter revenue was 24.9 million dollars, better than our estimated 24 million dollars. Gross margin is 35.1%, better than our estimated 31.3%. As a result of higher gross margin and lower than expected operating costs, the adjusted earnings per share of 0.07 U.S. dollars, better than we expected-0.10 U.S. dollars. In the first quarter, the number of independent user logons increased to 51 million, up from 45 million in the previous quarter.

Second quarter revenue outlook weak

The median revenue outlook for the second quarter was $22 million trillion, below our estimated $27.5 million trillion, the fourth consecutive quarter. The executive power of the game business of everyone and the transfer of advertising revenue to the mobile side are facing difficulties. We expect this trend to continue into the second quarter.

Still looking for a rebound

While valuations are backed by 985 million of billions of dollars in cash, we will remain on the sidelines because of the potential price catalysts, particularly the uncertain future of gaming business, and the likely cash consumption over the next few quarters.