DAQO New Energy (NYSE:DQ) Stock Price Up 10.6% - Here's Why

Key Points

• Shares rose 10.6% midday to $22.31 on Wednesday, though trading was light (~184,645 shares, down ~73% from average volume).
• Analysts are mixed with a consensus rating of “Hold” and an average price target of $25.43, while several firms recently cut ratings and targets (e.g., Glj Research and New Street to about $18.13).
• DAQO missed quarterly earnings (EPS -$0.11 vs. -$0.04 estimate) and reported $221.7M revenue vs. $276.9M expected; the company has a $1.56B market cap and reported a negative net margin (~25.6%).

DAQO New Energy Corp. (NYSE:DQ - Get Free Report)'s share price rose 10.6% during mid-day trading on Wednesday . The stock traded as high as $22.20 and last traded at $22.3090. Approximately 184,645 shares traded hands during trading, a decline of 73% from the average daily volume of 691,173 shares. The stock had previously closed at $20.17.

Analyst Upgrades and Downgrades

DQ has been the subject of several recent research reports. Glj Research downgraded DAQO New Energy from a "buy" rating to a "sell" rating and decreased their price target for the stock from $30.51 to $18.13 in a report on Tuesday, February 3rd. Weiss Ratings restated a "sell (d-)" rating on shares of DAQO New Energy in a research note on Friday, March 27th. Finally, New Street Research set a $18.13 price objective on DAQO New Energy in a research note on Tuesday, February 3rd. One research analyst has rated the stock with a Strong Buy rating, one has given a Buy rating, two have issued a Hold rating and two have given a Sell rating to the company. According to MarketBeat, DAQO New Energy has a consensus rating of "Hold" and an average price target of $25.43.

DAQO New Energy Trading Up 15.0%

The business has a 50-day moving average price of $22.56 and a 200 day moving average price of $26.83. The stock has a market cap of $1.56 billion, a PE ratio of -9.14 and a beta of 0.80.

DAQO New Energy (NYSE:DQ - Get Free Report) last issued its quarterly earnings results on Monday, March 2nd. The semiconductor company reported ($0.11) EPS for the quarter, missing analysts' consensus estimates of ($0.04) by ($0.07). DAQO New Energy had a negative net margin of 25.62% and a negative return on equity of 2.92%. The firm had revenue of $221.71 million for the quarter, compared to analysts' expectations of $276.94 million. On average, equities analysts predict that DAQO New Energy Corp. will post -0.38 earnings per share for the current year.

Institutional Inflows and Outflows

A number of institutional investors have recently made changes to their positions in the company. Banque Cantonale Vaudoise lifted its holdings in DAQO New Energy by 37.5% during the 1st quarter. Banque Cantonale Vaudoise now owns 2,579 shares of the semiconductor company's stock worth $55,000 after purchasing an additional 703 shares in the last quarter. SG Americas Securities LLC lifted its holdings in DAQO New Energy by 58.1% during the 1st quarter. SG Americas Securities LLC now owns 67,643 shares of the semiconductor company's stock worth $1,439,000 after purchasing an additional 24,855 shares in the last quarter. Hsbc Holdings PLC purchased a new stake in DAQO New Energy during the 4th quarter worth about $624,000. Caitong International Asset Management Co. Ltd purchased a new stake in DAQO New Energy during the 4th quarter worth about $49,000. Finally, MidFirst Bank purchased a new stake in DAQO New Energy during the 4th quarter worth about $236,000. Hedge funds and other institutional investors own 47.22% of the company's stock.

About DAQO New Energy

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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