NEW YORK (TheStreet) -- ChinaNet (CNET) shares skyrocketed in trading today, up 134.2% to $2.39 on heavy volume Friday, following a press release saying that the company is in discussions for a partnership with Alibaba's (BABA) online shopping unit Taobao.
"We are very excited about our new focus on digital advertising and our cooperation with Baidu. We are also in discussions with Taobao of Alibaba to provide "Micro-Sell 360", which is one of our new product solutions geared towards precision marketing for clients," said the company.
Alibaba's IPO has not disappointed as the Chinese e-commerce company's shares have risen 35% and have traded more than 100 million shares since it debuted earlier today.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 CHINANET ONLINE HOLDINGS as a Sell with a ratings score of D+. TheStreet Ratings Team has this to say about their recommendation:
"We rate CHINANET ONLINE HOLDINGS (CNET) a SELL. This is driven by multiple weaknesses, which we believe should have a greater impact than any strengths, and could make it more difficult for investors to achieve positive results compared to most of the stocks we cover. The company's weaknesses can be seen in multiple areas, such as its feeble growth in its earnings per share, deteriorating net income, disappointing return on equity, poor profit margins and weak operating cash flow."