NQ Mobile Inc (NYSE:NQ) shares have seen a lot of volatility thanks to the debate about whether the company’s practices are fraudulent. Today they rose more than 6% after a favorable report from analysts at Topeka Capital Markets, who raised their price target for the company’s stock. Shares probably also received a boost from the company’s deal which China Mobile, which was announced today in a press release (via The Wall Street Journal).
Topeka raises PT for NQ Mobile
Analyst Frederick Ziegel with Topeka Capital Markets said he raised his price target for NQ Mobile Inc (NYSE:NQ) from $34.25 to $36.75 per share after the company’s analyst meeting on Tuesday. He also increased his estimates for the company’s 2014 revenue and earnings per share.
Canyon Capital Has Tapped Into The Pandemic Fallout: In-Depth Analysis [Q4 Letter]
Canyon Balanced Funds was up more than 41% net since the end of last year's first quarter. It took about 10 months for the fund to recover from the lows in that quarter, a few months longer than the 2009 rebound after the Global Financial Crisis. The fund has a little over $26 million in Read More
The carrier guided for revenue of between $305 million and $310 million for 2014, which would be a 60% increase. It is also ahead of Topeka’s previous estimate of $292 million. He says the revenue increase plus assumptions about better margins drives a 10-cent per share increase in their earnings per share estimate for 2014, bringing it to $1.47 a share.
NQ Mobile makes a deal with China Mobile
In addition to Topeka’s price target increase, the carrier announced a key deal with China Mobile Ltd. (NYSE:CHL) (HKG:941), the world’s largest mobile carrier. China Mobile has launched NQ Family Guardian on its network, bringing the feature to 755 million new mobile subscribers.
The feature enables parents to protect their children’s mobile experiences by setting certain boundaries for their devices. NQ Mobile Inc (NYSE:NQ)’s service provides monitoring services for parents so that they can be aware of their child’s location and keep them from accessing inappropriate content. They can also set schedules for when the device can be used and block spam texts and calls.
NQ Mobile partners with Indonesian carrier Telkomsel
The deal with China Mobile comes a day after NQ Mobile announced a deal with Indonesian carrier Telkomsel for the same thing. Along with that deal, NQ Mobile will receive access to the carrier’s 128 million users.