ATRenew (NYSE:RERE) Trading Down 6.5% - Here's What Happened

Key Points

• ATRenew Inc. shares fell 6.5% during trading, closing at $4.25, with a significant increase in volume of 4.76 million shares traded.
• The company's earnings report revealed a 0.04 EPS, missing estimates, along with $641.26 million in revenue, significantly lower than the anticipated $4.62 billion.
• ATRenew's Board authorized a share buyback plan, which typically indicates that the company's board believes its shares are undervalued.

ATRenew Inc. Sponsored ADR (NYSE:RERE - Get Free Report) shares traded down 6.5% during mid-day trading on Thursday . The company traded as low as $4.25 and last traded at $4.25. 4,762,073 shares were traded during trading, an increase of 238% from the average session volume of 1,407,382 shares. The stock had previously closed at $4.54.

Analysts Set New Price Targets

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

ATRenew Price Performance

The company has a 50-day simple moving average of $3.31 and a two-hundred day simple moving average of $2.95. The stock has a market capitalization of $1.04 billion, a price-to-earnings ratio of 60.66 and a beta of 0.20.

ATRenew (NYSE:RERE - Get Free Report) last announced its earnings results on Tuesday, May 20th. The company reported $0.04 earnings per share for the quarter, missing the consensus estimate of $0.05 by ($0.01). ATRenew had a net margin of 0.73% and a return on equity of 8.91%. The firm had revenue of $641.26 million for the quarter, compared to the consensus estimate of $4.62 billion. Research analysts anticipate that ATRenew Inc. Sponsored ADR will post 0.09 EPS for the current year.

ATRenew declared that its Board of Directors has authorized a share buyback plan on Monday, June 30th that authorizes the company to repurchase $0.00 in outstanding shares. This repurchase authorization authorizes the company to purchase shares of its stock through open market purchases. Shares repurchase plans are generally a sign that the company's board believes its shares are undervalued.

Institutional Inflows and Outflows

Several institutional investors have recently added to or reduced their stakes in RERE. PFG Investments LLC bought a new position in ATRenew in the 1st quarter valued at $40,000. Two Sigma Investments LP boosted its holdings in ATRenew by 38.2% in the fourth quarter. Two Sigma Investments LP now owns 108,516 shares of the company's stock valued at $313,000 after acquiring an additional 30,000 shares during the last quarter. Harbour Capital Advisors LLC bought a new stake in ATRenew during the 1st quarter worth about $33,000. Bank of America Corp DE raised its holdings in ATRenew by 46.3% during the 4th quarter. Bank of America Corp DE now owns 578,457 shares of the company's stock worth $1,666,000 after purchasing an additional 183,201 shares during the last quarter. Finally, Squarepoint Ops LLC bought a new stake in ATRenew during the 4th quarter worth about $50,000. 19.29% of the stock is owned by institutional investors.

ATRenew Company Profile

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.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest and most accurate reporting. This story was reviewed by MarketBeat's editorial team prior to publication. Please send any questions or comments about this story to contact@marketbeat.com.