ATRenew (NYSE:RERE) Sees Large Volume Increase - Time to Buy?

Key Points

• ATRenew experienced a significant increase in trading volume, with 3,420,520 shares traded, marking a 159% increase from the previous session.
• Wall Street analysts downgraded ATRenew's rating from "strong-buy" to "buy", indicating a shift in market perception.
• The company reported missed earnings expectations last quarter, with $0.04 EPS compared to the $0.05 consensus estimate, alongside revenue significantly lower than analyst forecasts.

ATRenew Inc. Sponsored ADR (NYSE:RERE - Get Free Report) saw an uptick in trading volume on Tuesday . 3,420,520 shares traded hands during mid-day trading, an increase of 159% from the previous session's volume of 1,318,535 shares.The stock last traded at $3.99 and had previously closed at $3.90.

Wall Street Analysts Forecast Growth

Separately, Wall Street Zen cut shares of ATRenew from a "strong-buy" rating to a "buy" rating in a report on Sunday.

ATRenew Trading Up 2.2%

The firm has a 50-day simple moving average of $3.24 and a two-hundred day simple moving average of $2.93. The company has a market capitalization of $971.82 million, a price-to-earnings ratio of 56.93 and a beta of 0.20.

ATRenew (NYSE:RERE - Get Free Report) last released its quarterly earnings data on Tuesday, May 20th. The company reported $0.04 EPS for the quarter, missing analysts' consensus estimates of $0.05 by ($0.01). The firm had revenue of $641.26 million during the quarter, compared to analyst estimates of $4.62 billion. ATRenew had a return on equity of 8.91% and a net margin of 0.73%. On average, sell-side analysts forecast that ATRenew Inc. Sponsored ADR will post 0.09 earnings per share for the current year.

ATRenew announced that its Board of Directors has initiated a stock buyback plan on Monday, June 30th that allows the company to repurchase $0.00 in outstanding shares. This repurchase authorization allows the company to purchase shares of its stock through open market purchases. Shares repurchase plans are typically an indication that the company's board believes its stock is undervalued.

Hedge Funds Weigh In On ATRenew

Several large investors have recently bought and sold shares of RERE. Harber Asset Management LLC raised its stake in shares of ATRenew by 0.6% in the 1st quarter. Harber Asset Management LLC now owns 1,254,530 shares of the company's stock valued at $3,688,000 after buying an additional 7,750 shares in the last quarter. Cubist Systematic Strategies LLC lifted its stake in ATRenew by 15.9% during the first quarter. Cubist Systematic Strategies LLC now owns 66,119 shares of the company's stock worth $194,000 after purchasing an additional 9,094 shares during the period. NewEdge Advisors LLC acquired a new stake in ATRenew during the fourth quarter valued at approximately $29,000. Walleye Capital LLC boosted its holdings in ATRenew by 2.5% during the first quarter. Walleye Capital LLC now owns 444,584 shares of the company's stock valued at $1,307,000 after purchasing an additional 10,725 shares in the last quarter. Finally, JTC Employer Solutions Trustee Ltd bought a new stake in shares of ATRenew in the 1st quarter valued at approximately $32,000. 19.29% of the stock is currently owned by institutional investors and hedge funds.

About ATRenew

ATRenew Inc, through its subsidiaries, operates pre-owned consumer electronics transactions and services platform in the People's Republic of China. It primarily sells mobile phones, laptops, tablets, drones, digital cameras; and vintage bags, watches, liquor, gold, and various household goods through its online platforms and offline stores, as well as provides services to third-party merchants to sell the products through its platforms.

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