Renren Stock Analysis, Valuation (NYSE:RENN)

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$2.37 $0.03 (1.25%) RENN stock closing price Jul 20, 2018 (Closing)

Investors can watch the Amigobulls Renren stock analysis video here. This video puts forward our latest analysis highlighting the pros and cons for RENN stock.

Note: Amigobulls stock rating is our opinion based on the historical performance of the company's fundamentals. It is not indicative of the future performance of the stock.

Renren Inc Stock Rating 1.5/5

Amigobulls RENN stock analysis takes into account various financial ratios like relative valuation, Renren revenue, growth and return on equity based on latest quarter 2018 Q1 financial statements. We also check Renren dividend performance. We compare Renren valuation with its sector peers to gauge relative attractiveness of RENN stock. Our Renren stock rating is based on company's fundamentals like balance sheet risk and cash flow position.

Should you buy RENN stock?

  • Renren's revenue growth came in at 570.5% in 2018-03.
  • The company saw a significant growth in revenue with a 5 year CAGR of 11.7.
  • The lower PS ratio 0.5 for RENN stock versus Computer and Technology sector average of 3 is a positive for the company.

Should you sell RENN stock?

  • Over the last twelve months, Renren posted an average operating loss margin of -29.78.
  • Renren registered an average TTM Net loss of -42.2%.
  • The lack of profits renders the PE ratio useless for RENN stock.
  • -8.4's negative ROIC of -8.4 indicates operational inefficiency.
  • Renren has a negative return on equity of -19.1. This indicates that the firm is inefficient at generating profits.

Comments on this video and Renren stock

Amigobulls Renren stock analysis helps investors in understanding how the company's fundamentals have performed in the last few quarters. The fundamentals of a company are vital to identify long-term investment opportunities.

Renren revenue growth and profit or net income are the main underlying forces which could detremine the direction of the share price. One can also combine technical analysis and fundamental analysis to get a holistic picture about RENN stock.