DAQO New Energy (NYSE:DQ) Sets New 12-Month High - Should You Buy?

Key Points

• DAQO New Energy Corp. reached a new 52-week high of $30.95 and last traded at $30.19, signaling strong market interest and substantial trading volume.
• Multiple analysts have upgraded their ratings and price targets for DAQO, with Citigroup raising its target from $27.00 to $37.00, reflecting positive sentiment around the stock's future performance.
• The company recently reported a negative earnings per share of ($1.14) for the quarter, exceeding analysts' expectations, but posted revenues significantly below estimates at $75.19 million.

DAQO New Energy Corp. (NYSE:DQ - Get Free Report)'s share price hit a new 52-week high during mid-day trading on Thursday . The stock traded as high as $30.95 and last traded at $30.19, with a volume of 1345921 shares changing hands. The stock had previously closed at $28.40.

Analysts Set New Price Targets

Several brokerages have recently issued reports on DQ. Roth Capital reiterated a "neutral" rating and issued a $25.00 price target on shares of DAQO New Energy in a research note on Thursday, September 18th. HSBC raised DAQO New Energy from a "hold" rating to a "buy" rating and set a $31.00 price objective for the company in a report on Wednesday, August 27th. Hsbc Global Res raised DAQO New Energy from a "hold" rating to a "strong-buy" rating in a report on Wednesday, August 27th. Glj Research restated a "buy" rating and set a $30.51 target price on shares of DAQO New Energy in a research report on Tuesday, August 26th. Finally, Citigroup increased their price objective on DAQO New Energy from $27.00 to $37.00 and gave the stock a "buy" rating in a research report on Monday, September 8th. Two analysts have rated the stock with a Strong Buy rating, four have issued a Buy rating, one has assigned a Hold rating and one has given a Sell rating to the company. According to MarketBeat.com, the stock presently has an average rating of "Moderate Buy" and an average price target of $25.84.

DAQO New Energy Stock Performance

The firm's fifty day simple moving average is $24.05 and its 200 day simple moving average is $18.49. The firm has a market cap of $2.08 billion, a P/E ratio of -5.30 and a beta of 0.50.

DAQO New Energy (NYSE:DQ - Get Free Report) last issued its earnings results on Tuesday, August 26th. The semiconductor company reported ($1.14) EPS for the quarter, topping analysts' consensus estimates of ($1.16) by $0.02. DAQO New Energy had a negative net margin of 65.64% and a negative return on equity of 6.54%. The business had revenue of $75.19 million for the quarter, compared to analyst estimates of $140.54 million. On average, equities research analysts predict that DAQO New Energy Corp. will post -3.5 earnings per share for the current year.

DAQO New Energy declared that its Board of Directors has authorized a share repurchase program on Tuesday, August 26th that permits the company to repurchase $0.00 in shares. This repurchase authorization permits the semiconductor company to buy shares of its stock through open market purchases. Stock repurchase programs are typically an indication that the company's board believes its stock is undervalued.

Institutional Trading of DAQO New Energy

A number of hedge funds have recently bought and sold shares of DQ. Headlands Technologies LLC purchased a new position in shares of DAQO New Energy during the 2nd quarter worth approximately $29,000. Caitong International Asset Management Co. Ltd raised its stake in DAQO New Energy by 86,700.0% during the 1st quarter. Caitong International Asset Management Co. Ltd now owns 1,736 shares of the semiconductor company's stock worth $31,000 after acquiring an additional 1,734 shares in the last quarter. Virtu Financial LLC acquired a new stake in DAQO New Energy during the 1st quarter worth $187,000. Vident Advisory LLC acquired a new stake in DAQO New Energy during the 1st quarter worth $216,000. Finally, Harvest Portfolios Group Inc. acquired a new position in DAQO New Energy in the first quarter valued at $305,000. Institutional investors and hedge funds own 47.22% of the company's stock.

DAQO New Energy Company Profile

Daqo New Energy Corp., together with its subsidiaries, manufactures and sells polysilicon to photovoltaic product manufacturers in the People's Republic of China. Its products are used in ingots, wafers, cells, and modules for solar power solutions. The company was formerly known as Mega Stand International Limited and changed its name to Daqo New Energy Corp.

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