NEW YORK (TheStreet) -- Shares of Youku Tuduo (YOKU) were gaining 2.4% to $23.39 Friday after the Chinese Internet TV company announced a new partnership with game media and marketing company Star Game to form the Star Video Alliance.
The Star Video Alliance will create a "new premium standard for gaming video content in China" by creating a new "comprehensive vertically integrated gaming video ecosystem," according to the companies.
The new gaming video and media platform will use Youku Tudou's multi-screen distribution and big data to "empower" game producers, content creators, and users to accelerate the growth of the company's gaming video ecosystem.
"Now, by founding the Star Video Alliance backed by strong partners, we continue to expand our ecosystem by building a complete platform that brings together the entire gaming video community on Youku Tudou," Youku Tudou President of Cloud Entertainment Leo Yang said.
About 8.1 million shares of Youku Tudou were traded 1:30 p.m. Friday, above the company's average trading volume of about 3 million shares a day.
TheStreet Ratings team rates YOUKU TUDOU INC as a Sell with a ratings score of D+. TheStreet Ratings Team has this to say about their recommendation:
"We rate YOUKU TUDOU INC (YOKU) 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, poor profit margins and generally disappointing historical performance in the stock itself."