Why iQIYI Stock Tumbled Today
Shares of iQIYI (NASDAQ: IQ) sank on Friday after the Chinese streaming company reported its second-quarter results. The headline numbers were mixed relative to analyst expectations, and iQIYI disclosed an SEC investigation stemming from a report from short-seller Wolfpack Research published in April. The stock was down about 13% at 10:45 a.m. EDT.
iQIYI reported second-quarter revenue of 7.4 billion renminbi, equivalent to $1 billion. This was up 4% in local currency from the prior year period, but it fell short of the average analyst estimate by about $60 million. The company ended the quarter with 104.9 million subscribers, up 4% year over year.
Image source: Getty Images.
Source Fool.com
