Provides online news, information, and content services through the Sohu News APP, m.sohu.com, and www.sohu.com. Now — the numbers.
That much dependence is a risk in itself: if this one line weakens, the whole company feels it directly.
This is an established company with proven profits.
If every debt were paid off today, $830.7M would still be left in the vault — a solid cushion for hard times.
The market pays 1× for every dollar of annual profit — cheap, which is either an opportunity or a warning.
Against companies in its own sector, it looks cheaper than 97% of them.
Analysts' average target sits 39% above today's price.
We compared this company with its own sector across five subjects.
A score of 50 means class average.
Profit power and business quality lead the class.
Clearly above the class average — a step short of the very top.
The price looks reasonable next to what the company earns.
This grade is a blend: the profit side is strong, the sales tempo slow.
Clearly below the class average.
Price Momentum: The stock has lagged the market in recent months; investor interest is weak right now.
The stock trades 39% below its peak. The market has trimmed its expectations for the company.
The net profit margin is 67% — still a thick cushion, though costs have been eating into it lately.
There is $830.7M in the vault; even if every debt were paid off, $830.7M would remain.
Over the last 4 years, sales fell about 9% a year on average. Profit is holding up, but a shrinking business is a risk worth watching.
Over the last 12 months, executives reported 8 sells against just 2 buys. Not an alarm bell by itself, but a number worth watching.
On our five-subject report card, SOHU sits near the top of the class. A high grade doesn’t mean “guaranteed win” — it means “the evidence looks strong for now.”
The takeaway: SOHU is an established business that has proven its profits for years. The real debate isn’t the quality of the business — it’s what that quality should cost.
The total grade weighs these five subjects against the sector — it isn’t a simple average of the five.
Not covered, because the filings we hold do not carry it: earnings execution.