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Sohu Remains Neutral

We maintain our Neutral rating on Sohu.com Inc. (SOHU). Although Sohu continues to face cut-throat competition from NetEase.com Inc. (NTES) and Take-Two Interactive Software Inc. (TTWO), we believe that its promising games portfolio and the continued popularity of Changyou.com Ltd. (CYOU) games will drive profitability over the long term. Sohu reported strong fourth quarter 2010 [...]
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