Why SouFun (SFUN) Stock Is Higher Today

NEW YORK (TheStreet) -- Shares of SouFun Holdings Ltd (SFUN) are higher 4.32% to $13.27 on Wednesday morning after receiving a ratings upgrade.

The Chinese real estate internet portal was upgraded to "buy" from "neutral" at Goldman Sachs (GS).

"We believe SouFun has transformed from being competitively challenged (especially in e-commerce) into one of the most defensive vertical leaders due to sustained strength in marketing and listing services," Goldman Sachs said.

"We believe SouFun's top-tier city exposure and low online ad penetration suggest marketing revenue could double in the long term," Goldman added.

STOCKS TO BUY: TheStreet Quant Ratings has identified a handful of stocks that can potentially TRIPLE in the next 12 months. Learn more.

TheStreet Ratings team rates SOUFUN HLDGS LTD as a Buy with a ratings score of B. TheStreet Ratings Team has this to say about their recommendation:

"We rate SOUFUN HLDGS LTD (SFUN) a BUY. This is driven by some important positives, which we believe should have a greater impact than any weaknesses, and should give investors a better performance opportunity than most stocks we cover. The company's strengths can be seen in multiple areas, such as its robust revenue growth, solid stock price performance, impressive record of earnings per share growth, compelling growth in net income and expanding profit margins. We feel these strengths outweigh the fact that the company has had generally high debt management risk by most measures that we evaluated."

Highlights from the analysis by TheStreet Ratings Team goes as follows:

If you liked this article you might like

Crude Oil Sparks Energy Rally to Lead S&P 500, Nasdaq to Slight Gains

Crude Rally Boosts Energy Stocks, S&P 500 Inches Higher

Dow Under Pressure, Nasdaq Rises on Gains in Amazon, Google

Market Recon: Watch the Euro and Big Banks Like Deutsche and Credit Suisse

SouFun (SFUN) Stock Gains Despite CLSA Downgrade