Sohu.com (SOHU)
NASDAQ:SOHU
Top Page
Sohu
(NASDAQ:SOHU)
Select Model
Select Model
Rating:52Neutral
Price Target:
$16.50
▲(2.48% Upside)
Action:ReiteratedDate:03/17/26
The score is held back primarily by weak recent cash generation and pressured operating profitability, reinforced by cautious near-term guidance and continued social media losses. Offsetting factors include a strong, low-leverage balance sheet and an optically low P/E, while technicals are broadly neutral with slightly negative momentum.
Positive Factors
Conservative balance sheet
Minimal debt and a conservative balance sheet provide a durable solvency cushion. Low leverage and sizable equity absorb operating losses, preserve optionality for investments or buybacks, and reduce refinancing risk across the next several quarters.
Negative Factors
Weak cash generation
Sustained negative operating and free cash flow over multiple years indicates ongoing cash burn. This undermines the quality of reported earnings, increases reliance on cash reserves or financing, and constrains the firm's ability to self-fund content, marketing, or new investments.
Read all positive and negative factors
Positive Factors
Negative Factors
Conservative balance sheet
Minimal debt and a conservative balance sheet provide a durable solvency cushion. Low leverage and sizable equity absorb operating losses, preserve optionality for investments or buybacks, and reduce refinancing risk across the next several quarters.
Read all positive factors
Sohu (SOHU) vs. SPDR S&P 500 ETF (SPY)
Market Cap
$398.33M
Dividend YieldN/A
Average Volume (3M)38.14K
Price to Earnings (P/E)1.1
Beta (1Y)1.11
Revenue Growth-4.80%
EPS GrowthN/A
CountryUS
Employees4,300
SectorCommunication Services
Sector Strength97
IndustryElectronic Gaming & Multimedia
Share Statistics
EPS (TTM)9.77
Shares Outstanding26,069,021
10 Day Avg. Volume37,935
30 Day Avg. Volume38,142
Financial Highlights & Ratios
PEG Ratio>-0.01
Price to Book (P/B)0.35
Price to Sales (P/S)0.75
P/FCF Ratio-30.54
Enterprise Value/Market Cap0.83
Enterprise Value/Revenue0.57
Enterprise Value/Gross Profit0.73
Enterprise Value/Ebitda-5.38
Forecast
1Y Price TargetN/A
Price Target UpsideN/A
Rating ConsensusN/A
Number of Analyst Covering0
EPS Forecast (FY)-3.04
Revenue Forecast (FY)$575.40M
Sohu Business Overview & Revenue Model
Company Description
Sohu.com Limited provides online media, video, and game products and services on PCs and mobile devices in China. The company offers online news, information, and content services through the mobile phone application Sohu News APP, mobile portal m...
How the Company Makes Money
Sohu primarily generates revenue from two core sources: (1) Online advertising and marketing services and (2) Online games.
1) Online advertising and marketing services: Sohu sells brand advertising and performance-based marketing placements acr...
Sohu Earnings Call Summary
Earnings Call Date:Feb 09, 2026
(Q4-2025)
| % Change Since: |
Next Earnings Date:May 25, 2026
Earnings Call Sentiment Neutral
The call presented a mixed picture: strong headline profitability for 2025 driven largely by a one-time $285 million withholding tax reversal and solid performance/operating profit at Changyou, plus active share repurchases and ongoing product and content initiatives. Offsetting these positives are meaningful declines in marketing services, sustained and material operating losses in the social media segment, sequential revenue volatility, and conservative near-term guidance (Q1 2026 net loss guidance). The results show operational improvements in the gaming business and engagement efforts on the platform, but core advertising and social media monetization remain challenged and the full-year profitability improvement is substantially influenced by the tax reversal.Positive Updates
Quarterly Revenue and Growth (Q4 2025)
Total Q4 revenue of $142 million, up 6% year-over-year but down 21% sequentially; marketing services $17 million (down 10% y/y, up 25% q/q); online games $120 million (up 10% y/y, down 26% q/q).
Negative Updates
Marketing Services Revenue Decline
Full-year 2025 marketing services revenues fell to $60 million, down 18% vs. 2024; Q1 2026 guidance calls for marketing revenue of $10–$11 million implying a 20%–27% annual decline and a steep sequential decline of 35%–41% due to seasonality and softer ad demand.
Read all updates
Q4-2025 Updates
Positive
Negative
Quarterly Revenue and Growth (Q4 2025)
Total Q4 revenue of $142 million, up 6% year-over-year but down 21% sequentially; marketing services $17 million (down 10% y/y, up 25% q/q); online games $120 million (up 10% y/y, down 26% q/q).
Read all positive updates
Company Guidance
Management guided 1Q/2026 marketing services revenues of $10–$11 million (implying an annual decline of 20%–27% and a sequential drop of 35%–41%), online game revenues of $123–$130 million (implying an annual range of -4% to +5% and a sequential range of -6% to +2%), and both GAAP and non‑GAAP net loss attributable to Sohu.com Limited of $10–$20 million; management emphasized the guidance is preliminary and subject to substantial uncertainty, citing seasonality (a later Chinese New Year) as a key factor behind softer near‑term ad revenue.Sohu Financial Statement Overview
Summary
Income Statement
44
Neutral
Balance Sheet
78
Positive
Cash Flow
33
Negative
| Breakdown | Dec 2025 | Dec 2024 | Dec 2023 | Dec 2022 | Dec 2021 |
|---|---|---|---|---|---|
Income Statement | |||||
| Total Revenue | 585.88M | 598.40M | 600.67M | 733.87M | 835.58M |
| Gross Profit | 454.04M | 432.57M | 454.92M | 542.30M | 630.90M |
| EBITDA | -31.44M | -76.97M | -57.06M | 30.43M | 175.02M |
| Net Income | 395.14M | -100.27M | -30.38M | -17.34M | 927.73M |
Balance Sheet | |||||
| Total Assets | 1.64B | 1.73B | 1.88B | 1.98B | 2.25B |
| Cash, Cash Equivalents and Short-Term Investments | 830.68M | 904.42M | 960.27M | 1.17B | 1.40B |
| Total Debt | 0.00 | 37.51M | 41.36M | 36.50M | 36.12M |
| Total Liabilities | 357.98M | 811.98M | 822.82M | 867.07M | 953.60M |
| Stockholders Equity | 1.28B | 922.34M | 1.06B | 1.11B | 1.29B |
Cash Flow | |||||
| Free Cash Flow | -14.46M | -67.94M | -43.98M | 8.40M | -104.48M |
| Operating Cash Flow | -4.77M | -48.02M | -25.57M | 32.24M | -62.28M |
| Investing Cash Flow | 24.91M | -113.36M | -291.67M | -232.79M | 516.73M |
| Financing Cash Flow | -54.22M | -40.88M | -6.56M | -82.14M | -434.10M |
Sohu Technical Analysis
Negative
16.10
Price Trends
16.34
Negative
15.86
Negative
15.28
Negative
Market Momentum
-0.15
Positive
39.12
Neutral
32.51
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For SOHU, the sentiment is Negative. The current price of 16.1 is below the 20-day moving average (MA) of 16.10, below the 50-day MA of 16.34, and above the 200-day MA of 15.28, indicating a bearish trend. The MACD of -0.15 indicates Positive momentum. The RSI at 39.12 is Neutral, neither overbought nor oversold. The STOCH value of 32.51 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for SOHU.
Sohu Peers Comparison
UnderperformOutperform
Sector (60)
Name | Overall Rating | Market Cap | P/E Ratio | ROE | Dividend Yield | Revenue Growth | EPS Growth |
|---|---|---|---|---|---|---|---|
77 Outperform | $419.72M | 4.17 | 11.28% | ― | 1.21% | 0.72% | |
74 Outperform | $67.91B | 18.20 | 22.14% | 2.19% | 5.69% | 32.87% | |
65 Neutral | $9.53B | 62.04 | 8.04% | ― | 16.84% | ― | |
60 Neutral | $48.67B | 4.58 | -11.27% | 4.14% | 2.83% | -41.78% | |
59 Neutral | $271.95M | 3.94 | -62.85% | 18.48% | ― | ― | |
52 Neutral | $398.33M | 1.12 | 35.19% | ― | -4.80% | ― |
* Communication Services Sector Average
SOHU
Sohu
15.28
2.11
16.02%
NTES
NetEase
109.26
8.74
8.70%
NCTY
The9
5.30
-9.71
-64.69%
BILI
Bilibili
22.33
3.22
16.85%
DDI
Doubledown Interactive Co
8.47
-1.43
-14.44%
GDEV
Nexters
15.00
3.40
29.31%
Sohu Corporate Events
Sohu Swings to 2025 Profit on Changyou Tax Reversal Despite Flat Revenues
Feb 9, 2026
On February 9, 2026, Sohu reported unaudited results for the fourth quarter and full year ended December 31, 2025, highlighting the centrality of its online games franchise and a smaller, more volatile marketing services business. Total 2025 reven...
Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
Disclaimer
This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.