Qutoutiao Inc.

What is Qutoutiao Inc. (QTT)?

Company Overview Qutoutiao Inc. (QTT) a company principally engaged in the development of mobile application software. It operates mobile platforms for the distribution, consumption, and sharing of light entertainment content in China. The Company is a mobile content aggregator and its main mobile application is called Qutoutiao, through which the Company can provide personalized content, such as, articles and short videos, to users. Qutoutiao Inc. was founded in 2016 and is headquartered in Shanghai.

QTT, is it a good pick?

Recently the company has announced their Q3 results with a revenue of $149.8M, around -14.6% YoY. For the fourth quarter of 2021, the Company expects group net revenues to be between RMB850 million to RMB900 million vs. $199.6M in Q4 2020. QTT has plans to change the ratio of its ADSs to its Class A ordinary shares, par value $0.0001 per share, from the current ADS Ratio of 4 to 1 to a new ADS Ratio 2 to 5 Class A ordinary shares.

Technical analysis

From Oct 4th to Oct 21st the share price increased around 43.95% to trade around $13.06. From Oct 21st to Dec 30th the price dropped -79.14% to its support at $2.72. On Jan 3rd the price went up 20.17% to a price of $3.02. The RSI is at the oversold zone while the MACD shows the stock currently at a positive trend. The share price could increase around 71.44% to trade at $3.48 in the short term.