DAQO New Energy Corp. (NYSE:DQ) Given Consensus Rating of "Hold" by Brokerages

Key Points

• DAQO New Energy was given a consensus recommendation of Hold by six brokerages (2 sell, 2 hold, 1 buy, 1 strong buy) with an average 12‑month price target of $25.43.
• The company missed its latest quarter—EPS ($0.11) vs. ($0.04) expected and revenue $221.7M vs. $276.9M est.—leaving DAQO unprofitable (negative net margin 25.62%) and analysts forecasting about -3.5 EPS for the year.
• Significant institutional activity has occurred (Polunin Capital added a $37.2M position; Continental General Insurance now owns 6.64M shares worth ~$186.8M; Goldman Sachs boosted holdings 117.2%), and institutions own 47.22% of the stock.

DAQO New Energy Corp. (NYSE:DQ - Get Free Report) has been given a consensus recommendation of "Hold" by the six brokerages that are presently covering the stock, MarketBeat reports. Two investment analysts have rated the stock with a sell rating, two have issued a hold rating, one has issued a buy rating and one has given a strong buy rating to the company. The average 12-month price objective among brokers that have covered the stock in the last year is $25.4267.

A number of analysts have recently issued reports on DQ shares. Weiss Ratings reissued a "sell (d-)" rating on shares of DAQO New Energy in a research note on Monday, December 29th. Glj Research lowered shares of DAQO New Energy from a "buy" rating to a "sell" rating and decreased their price objective for the company from $30.51 to $18.13 in a report on Tuesday, February 3rd. Finally, New Street Research set a $18.13 price objective on shares of DAQO New Energy in a research report on Tuesday, February 3rd.

Institutional Inflows and Outflows

Hedge funds and other institutional investors have recently bought and sold shares of the company. Polunin Capital Partners Ltd purchased a new position in DAQO New Energy during the 3rd quarter worth $37,183,000. Continental General Insurance Co. grew its position in shares of DAQO New Energy by 11.3% during the 3rd quarter. Continental General Insurance Co. now owns 6,641,986 shares of the semiconductor company's stock worth $186,839,000 after buying an additional 675,784 shares in the last quarter. Arrowstreet Capital Limited Partnership purchased a new position in shares of DAQO New Energy during the third quarter valued at $18,280,000. Goldman Sachs Group Inc. raised its holdings in shares of DAQO New Energy by 117.2% in the first quarter. Goldman Sachs Group Inc. now owns 1,159,835 shares of the semiconductor company's stock valued at $21,005,000 after acquiring an additional 625,900 shares in the last quarter. Finally, Marshall Wace LLP bought a new stake in shares of DAQO New Energy in the fourth quarter valued at about $16,742,000. Institutional investors own 47.22% of the company's stock.

DAQO New Energy Stock Performance

Shares of NYSE DQ opened at $23.45 on Friday. DAQO New Energy has a fifty-two week low of $12.40 and a fifty-two week high of $36.59. The company has a market cap of $1.57 billion, a price-to-earnings ratio of -9.23 and a beta of 0.68. The business's 50 day moving average price is $25.03 and its 200-day moving average price is $27.87.

DAQO New Energy (NYSE:DQ - Get Free Report) last posted its quarterly earnings data on Thursday, February 26th. The semiconductor company reported ($0.11) earnings per share (EPS) for the quarter, missing analysts' consensus estimates of ($0.04) by ($0.07). The business had revenue of $221.71 million for the quarter, compared to analysts' expectations of $276.94 million. DAQO New Energy had a negative net margin of 25.62% and a negative return on equity of 2.92%. Sell-side analysts predict that DAQO New Energy will post -3.5 earnings per share for the current year.

DAQO New Energy Company Profile

DAQO New Energy Corp. operates as a leading manufacturer of high-purity polysilicon and monocrystalline silicon wafers for the global solar photovoltaic industry. The company focuses on serving module makers and integrated solar producers with critical upstream materials, applying proprietary technologies and optimized processes to achieve high product purity and consistently low production costs. Its core offerings include solar-grade polysilicon—used in the ingot casting and wafer slicing stages—and premium mono-silicon wafers, which are a key input for high-efficiency solar cell production.

Founded in the late 2000s and listed on the New York Stock Exchange in 2010, DAQO New Energy established its first polysilicon facility in China's Xinjiang Uygur Autonomous Region.

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