NEW YORK (TheStreet) -- Shares of Cheetah Mobile (CMCM) are rallying 3.22% to $35.85 in Wednesday's morning trading after Oppenheimer upped its price target to $42 from $30 and maintained its "outperform" rating.
The company's strong first quarter results, released yesterday morning, exceeded Oppenheimer analysts estimates, on stronger mobile monetization and less-than-expected spending, analysts said.
The Beijing-based company reported revenue of $108.48 million, or 9 cents per share, compared to revenue of $50.79 million, or 3 cents per share from a year ago period.
In the first quarter, the Chinese mobile-security service company was expected to report revenue of $106.2 million, or 5 cents per share, according to analysts polled by Thompson Reuters.
Cheetah Mobile's CEO Sheng Fu announced that the company has made impressive progress and set its strategic growth at the beginning of 2015 to be among the top three global mobile advertising platforms.
"We have witnessed both strong growth in our mobile user base and a continued success in our mobile monetization during the quarter," Fu said referring to the first quarter results.
"Cheetah Mobile has achieved a major landmark milestone in the mobile and global transformation of our company with mobile revenue now accounting for a majority of a total revenue for the first time in our history," he added.
The company provides security and optimization software used both in smartphones and PCs. Its apps such as Clean Master and Battery Doctor are popular on Google (GOOG) Play.CMCM data by YCharts