One-glance verdict
Undervalued
$77.03 our estimate vs market $6.54
Wall Street consensus: $8.24 (-89.3% lower than our fair-value estimate)
92% below our estimate, below the bear case
Fundamentals snapshot
Weibo Corporation
WB · NMS · Communication Services · Internet Content & Information
Current price
$6.54
52-week range
$6.47 - $12.96
Market cap
$1.61B
Balance sheet
Healthy
5.64x Adequate
Net cash $769.15M. Interest coverage shows how many times profit covers the interest bill.
What stands out
3 Rewards
1 Risk
3 rewards · 1 risks
- Reward Revenue grew 75.4% last year.
- Reward Returns 8.5% on equity, ahead of 33% of its peers.
- Reward Free cash flow was positive in 10/10 years.
- Risk Operating margin compressed from 26.7% to 26.2% over 3 years.
What this company does
Weibo Corporation
Weibo is one of China's largest social media platforms, like a version of Twitter where users share short posts, photos, and videos. The company makes almost all its money by selling advertising to businesses that want to reach its massive audience. Therefore, its success depends on keeping people active on the platform so it can show them more ads.
How the company got here
Weibo started in 2009 as a part of the Chinese technology company Sina. It grew quickly in China, in part because other global social media sites like Twitter and Facebook were banned in the country. Often called the "Twitter of China," it was designed to be a microblogging platform but soon added its own unique features. In 2014, Weibo became its own separate company and held an initial public offering (IPO), which is when a private company first sells shares of stock to the public. A significant early investor was the major e-commerce company Alibaba, which remains a key partner.
What it actually does
Weibo is a popular social media platform in China where people can create, share, and discover content. Think of it as a mix of Twitter and Facebook; users post short updates, photos, and videos, and can follow friends, celebrities, and organizations. It's a major hub for news, entertainment, and public conversation, allowing users to see what's trending in real-time. The platform is used by hundreds of millions of people every month to interact with each other and stay informed.
Advertising and Marketing Services
This is Weibo's main way of making money, bringing in the vast majority of its total revenue (the money a company earns from selling its products and services). Companies of all sizes pay Weibo to promote their brands, products, and services to the platform's large user base. These promotions can appear as ads in a user's main feed, on the search page, or as promoted trending topics. Weibo uses data about its users' interests and activities to help advertisers target the people most likely to be interested in what they are selling.
Value-Added Services (VAS)
This is a smaller, secondary part of Weibo's business. This segment makes money from a variety of features that enhance the user experience on the platform. These services include VIP memberships that offer special features, virtual items that users can buy and gift during live streams, and online games. While it doesn't generate nearly as much money as advertising, it provides another stream of income for the company.
What management is betting on now
Weibo's management is focused on keeping its massive user base engaged and making the platform more valuable for advertisers. A major priority is integrating Artificial Intelligence (AI) to improve things like content recommendations and search results, making the user experience better. They are also working to enrich the types of content available, especially in popular categories like video, games, and entertainment, to attract and retain users. By improving the platform with AI and diverse content, the company aims to provide better returns for advertisers and maintain its position in China's competitive social media landscape.
Price history
How the share price has moved
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Earnings history
Last 8 quarters — what happened
Click any quarter to read the call summary and what the numbers say.
FY2024 Q4
$578.43M
FY2025 Q4
$477.11M
Revenue
—
Net income
$449.02M
Diluted EPS
1.70
Operating cash flow
$519.48M
Free cash flow
$477.11M
Fetching…
Sources
Revenue
—
Net income
$300.80M
Diluted EPS
1.16
Operating cash flow
$639.90M
Free cash flow
$578.43M
Fetching…
Sources
Is it cheap or expensive?
Fair value $77.03 vs current price $6.54
Wall Street consensus is the average analyst price target: $8.24 (-89.3% lower than our fair-value estimate).
Our most-likely fair value is $77.03 a share — about 1,077.8% above today's price of $6.54, so the stock currently looks cheap (undervalued).
Is it drowning in debt?
Healthy
Net cash $769.2M - more cash than debt. Interest coverage 5.6x.
Net debt
$-769.15M
Interest coverage
5.64x
Weibo Corporation's profit covers its interest bill about 5.6 times over.
Healthy
Worse cushion
Baseline
Better cushion
WB
BASELINE
Weibo Corporation
Total debt $1.87B Interest coverage 5.64x This is the baseline the peer rows are being compared against.
Total debt $1.42B Interest coverage 7.47x +32% vs WB Carries about 1.3x more debt cushion than WB.
Total debt $69.66M Interest coverage 108.18x +1,819% vs WB Carries about 19.2x more debt cushion than WB.
Total debt $2.52B Interest coverage 79.81x +1,316% vs WB Carries about 14.2x more debt cushion than WB.
Total debt $6.83M Interest coverage 1.17x -79% vs WB Carries about 4.8x less debt cushion than WB.
Total debt $10.19M Interest coverage 18.70x +232% vs WB Carries about 3.3x more debt cushion than WB.
What you should know
The case for and against WB
3 Rewards
1 Risk
Rewards
-
Revenue grew 75.4% last year.
-
Returns 8.5% on equity, ahead of 33% of its peers.
-
Free cash flow was positive in 10/10 years.
Risks
-
Operating margin compressed from 26.7% to 26.2% over 3 years.
The numbers
All the key metrics, grouped by purpose
Tap any ? icon to learn what it means.
Valuation
How expensive the stock looks
P/E (TTM)
5.40x
Forward P/E
5.09x
P/B
0.39x
P/S
0.90x
EV/EBITDA
1.75x
PEG ratio
0.79x
Profitability
How much profit each dollar creates
Gross margin
73.4%
Operating margin
26.2%
Net margin
17.8%
ROE
8.5%
ROA
4.0%
Health
Liquidity and balance-sheet strength
Debt / equity
0.46x
Current ratio
3.59x
Quick ratio
2.88x
Total debt
$1.87B
Total cash
$2.64B
Growth
How the business has been compounding
Revenue TTM
$2.62B
Revenue 5Y CAGR
57.2%
EPS TTM
1.21
EPS 5Y CAGR
67.8%
Cash flow
How much cash the business throws off
Operating CF TTM
$2.40B
Free CF TTM
$477.11M
FCF margin
18.2%
Dividend
Shareholder payout
Yield
9.3%
Payout ratio
50.4%
Last ex-div date
2026-04-17