NetEase.com Inc. Third Quarter Earnings Sneak Peek

NetEase.com Inc. (NASDAQ:NTES) will unveil its latest earnings on Wednesday, November 16, 2011. NetEase.com is a China-based Internet technology company, which is engaged in the development of applications, services, and other technologies for the Internet in China.

NetEase.com Inc. Earnings Preview Cheat Sheet

Wall St. Earnings Expectations: The average estimate of analysts is for profit of 86 cents per share, a rise of 28.4% from the company’s actual earnings for the same quarter a year ago. During the past three months, the average estimate has moved up from 81 cents. Between one and three months ago, the average estimate moved up. It has been unchanged at 86 cents during the last month. For the year, analysts are projecting net income of $3.54 per share, a rise of 36.2% from last year.

Past Earnings Performance: Last quarter, the company beat estimates by 13 cents, coming in at profit of 91 cents a share versus the estimate of net income of 78 cents a share. It marked the fourth straight quarter of beating estimates.

Investing Insights: Here’s Why Chipotle’s Stock Keeps Winning.

Wall St. Revenue Expectations: Analysts are projecting a rise of 32.6% in revenue from the year-earlier quarter to $277.5 million.

Analyst Ratings: Analysts are bullish on this stock with 13 analysts rating it as a buy, none rating it as a sell and three rating it as a hold.

Revenue fell twofold to $0.0 from $193 million.

Key Stats:

Revenue fell in the second quarter after seeing a rise the quarter before. In the first quarter, revenue rose 34.3%.

The company’s gross margin shrank by 67.1 percentage points in the in the second quarter. Revenue fell 100% while cost of sales fell 100% to $0.0 from a year earlier.

Competitors to Watch: Sohu.com Inc. (NASDAQ:SOHU), Baidu.com, Inc. (NASDAQ:BIDU), SINA Corporation (NASDAQ:SINA), Giant Interactive Group Inc (NYSE:GA), Perfect World Co., Ltd. (NASDAQ:PWRD), Shanda Interactive Entertainment Ltd ADR (NASDAQ:SNDA), The9 Limited (NASDAQ:NCTY), Shanda Games Limited (NASDAQ:GAME), and China Telecom Corp. Ltd. (NYSE:CHA).

Stock Price Performance: During August 17, 2011 to November 10, 2011, the stock price had fallen $5.50 (-11.2%) from $49.30 to $43.80. The stock price saw one of its best stretches over the last year between March 16, 2011 and April 5, 2011 when shares rose for 15-straight days, rising 21% (+$9) over that span. It saw one of its worst periods between September 14, 2011 and September 22, 2011 when shares fell for seven-straight days, falling 16.1% (-$7.71) over that span. Shares are up $7.65 (+21.2%) year to date.

(Company fundamentals by Xignite Financials. Earnings estimates provided by Zacks)

Investing Insights: Here’s Why Chipotle’s Stock Keeps Winning.