Market Cap
US$3.2b
Last Updated
2021/06/15 05:56 UTC
Data Sources
Company Financials +
Executive Summary
Momo Inc. provides mobile-based social and entertainment services in the People’s Republic of China. More Details
Rewards
Risk Analysis
Snowflake Analysis
Very undervalued with excellent balance sheet.
Similar Companies
Share Price & News
How has Momo's share price performed over time and what events caused price changes?
Latest Share Price and Events
Stable Share Price: MOMO is not significantly more volatile than the rest of US stocks over the past 3 months, typically moving +/- 6% a week.
Volatility Over Time: MOMO's weekly volatility (6%) has been stable over the past year.
Market Performance
7 Day Return
9.6%
MOMO
1.4%
US Interactive Media and Services
0.8%
US Market
1 Year Return
-15.9%
MOMO
62.4%
US Interactive Media and Services
43.1%
US Market
Return vs Industry: MOMO underperformed the US Interactive Media and Services industry which returned 62.3% over the past year.
Return vs Market: MOMO underperformed the US Market which returned 44.3% over the past year.
Shareholder returns
| MOMO | Industry | Market | |
|---|---|---|---|
| 7 Day | 9.6% | 1.4% | 0.8% |
| 30 Day | 12.9% | 7.1% | 3.0% |
| 90 Day | -0.7% | 12.7% | 4.8% |
| 1 Year | -12.5%-15.9% | 62.4%62.4% | 45.5%43.1% |
| 3 Year | -66.3%-69.2% | 79.0%78.7% | 60.2%50.3% |
| 5 Year | 53.6%40.4% | 200.1%199.6% | 126.4%101.0% |
Long-Term Price Volatility Vs. Market
How volatile is Momo's share price compared to the market and industry in the last 5 years?
Simply Wall St News
1 week ago | Simply Wall St
Why Momo Inc. (NASDAQ:MOMO) Could Be Worth Watching3 weeks ago | Simply Wall St
Is Momo (NASDAQ:MOMO) A Risky Investment?1 month ago | Simply Wall St
Declining Stock and Solid Fundamentals: Is The Market Wrong About Momo Inc. (NASDAQ:MOMO)?Valuation
Is Momo undervalued compared to its fair value and its price relative to the market?
>50%
Undervalued compared to fair value
Share Price vs. Fair Value
Below Fair Value: MOMO ($15.78) is trading below our estimate of fair value ($43.97)
Significantly Below Fair Value: MOMO is trading below fair value by more than 20%.
Price To Earnings Ratio
PE vs Industry: MOMO is good value based on its PE Ratio (10.4x) compared to the US Interactive Media and Services industry average (32.4x).
PE vs Market: MOMO is good value based on its PE Ratio (10.4x) compared to the US market (19.7x).
Price to Earnings Growth Ratio
PEG Ratio: MOMO is good value based on its PEG Ratio (0.5x)
Price to Book Ratio
PB vs Industry: MOMO is good value based on its PB Ratio (1.4x) compared to the US Interactive Media and Services industry average (3.5x).
Future Growth
How is Momo forecast to perform in the next 1 to 3 years based on estimates from 19 analysts?
21.2%
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: MOMO's forecast earnings growth (21.2% per year) is above the savings rate (2%).
Earnings vs Market: MOMO's earnings (21.2% per year) are forecast to grow faster than the US market (15.5% per year).
High Growth Earnings: earnings are expected to grow significantly over the next 3 years.
Revenue vs Market: MOMO's revenue (10.3% per year) is forecast to grow faster than the US market (9.3% per year).
High Growth Revenue: MOMO's revenue (10.3% per year) is forecast to grow slower than 20% per year.
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: MOMO's Return on Equity is forecast to be low in 3 years time (15%).
Past Performance
How has Momo performed over the past 5 years?
21.9%
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: MOMO has high quality earnings.
Growing Profit Margin: MOMO's current net profit margins (13.6%) are lower than last year (19.1%).
Past Earnings Growth Analysis
Earnings Trend: MOMO's earnings have grown significantly by 21.9% per year over the past 5 years.
Accelerating Growth: MOMO's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.
Earnings vs Industry: MOMO had negative earnings growth (-37.1%) over the past year, making it difficult to compare to the Interactive Media and Services industry average (9.9%).
Return on Equity
High ROE: MOMO's Return on Equity (13.9%) is considered low.
Financial Health
How is Momo's financial position?
Financial Position Analysis
Short Term Liabilities: MOMO's short term assets (CN¥12.3B) exceed its short term liabilities (CN¥3.3B).
Long Term Liabilities: MOMO's short term assets (CN¥12.3B) exceed its long term liabilities (CN¥5.9B).
Debt to Equity History and Analysis
Debt Level: MOMO's debt to equity ratio (32.1%) is considered satisfactory.
Reducing Debt: Insufficient data to determine if MOMO's debt to equity ratio has reduced over the past 5 years.
Debt Coverage: MOMO's debt is well covered by operating cash flow (64.9%).
Interest Coverage: MOMO earns more interest than it pays, so coverage of interest payments is not a concern.
Balance Sheet
Dividend
What is Momo current dividend yield, its reliability and sustainability?
4.04%
Current Dividend Yield
Dividend Yield vs Market
Notable Dividend: MOMO's dividend (4.04%) is higher than the bottom 25% of dividend payers in the US market (1.27%).
High Dividend: MOMO's dividend (4.04%) is in the top 25% of dividend payers in the US market (3.35%)
Stability and Growth of Payments
Stable Dividend: Too early to tell whether MOMO's dividend payments have been stable as they only just started paying a dividend.
Growing Dividend: Too early to tell if MOMO's dividend payments are increasing as they only just started paying a dividend.
Current Payout to Shareholders
Dividend Coverage: Insufficient data to calculate payout ratio to determine if its dividend payments are covered by earnings.
Future Payout to Shareholders
Future Dividend Coverage: MOMO is not forecast to pay a dividend in 3 years.
Next Steps
Management
How experienced are the management team and are they aligned to shareholders interests?
0.6yrs
Average management tenure
CEO
Li Wang (37 yo)
0.58
Tenure
Mr. Li Wang has been has been President at Momo Inc. since April 2018 and serves as its Director since November 2017. He serves as Chief Executive Officer at Momo Inc since November 2020 and served as its ...
Leadership Team
Experienced Management: MOMO's management team is not considered experienced ( 0.6 years average tenure), which suggests a new team.
Board Members
Experienced Board: MOMO's board of directors are considered experienced (6.5 years average tenure).
Ownership
Who are the major shareholders and have insiders been buying or selling?
Insider Trading Volume
Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.
Ownership Breakdown
Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.
Top Shareholders
Company Information
Momo Inc.'s company bio, employee growth, exchange listings and data sources
Key Information
- Name: Momo Inc.
- Ticker: MOMO
- Exchange: NasdaqGS
- Founded: 2011
- Industry: Interactive Media and Services
- Sector: Media
- Market Cap: US$3.247b
- Shares outstanding: 206.13m
- Website: https://www.immomo.com
Number of Employees
Location
- Momo Inc.
- Tower 2, Wangjing SOHO
- 20th Floor, Block B
- Beijing
- 100102
- China
Listings
Biography
Momo Inc. provides mobile-based social and entertainment services in the People’s Republic of China. It operates Momo platform that includes its Momo mobile application, as well as various related properti...
Company Analysis and Financial Data Status
| Data | Last Updated (UTC time) |
|---|---|
| Company Analysis | 2021/06/15 05:56 |
| End of Day Share Price | 2021/06/14 00:00 |
| Earnings | 2021/03/31 |
| Annual Earnings | 2020/12/31 |
Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.