GDS (NASDAQ:GDS) Stock Price Down 3.5% - Should You Sell?

Key Points

• GDS Holdings' stock price fell by 3.5% on Friday, trading between $39.89 and $40.02 with a significant decrease in trading volume.
• Analysts have mixed views, with JMP Securities and Bank of America raising their price targets to $50.00 and $50.60, respectively, while Zacks Research downgraded their rating to "hold."
• Institutional investors, such as the Canada Pension Plan Investment Board, have increased their stakes in GDS significantly, raising their ownership to 33.71% of the stock.

GDS Holdings (NASDAQ:GDS - Get Free Report) shares traded down 3.5% on Friday . The stock traded as low as $40.02 and last traded at $39.89. 807,840 shares changed hands during trading, a decline of 72% from the average session volume of 2,844,407 shares. The stock had previously closed at $41.35.

Analyst Ratings Changes

Several equities research analysts recently weighed in on the stock. JMP Securities upped their price objective on shares of GDS from $40.00 to $50.00 and gave the stock a "market outperform" rating in a research report on Thursday, August 21st. Zacks Research cut shares of GDS from a "strong-buy" rating to a "hold" rating in a research report on Tuesday, August 26th. Bank of America upped their price objective on shares of GDS from $47.60 to $50.60 and gave the stock a "buy" rating in a research report on Friday, August 22nd. Weiss Ratings reaffirmed a "hold (c-)" rating on shares of GDS in a research report on Saturday, September 27th. Finally, JPMorgan Chase & Co. raised shares of GDS from a "neutral" rating to an "overweight" rating and upped their price objective for the stock from $34.00 to $46.00 in a research report on Wednesday, July 16th. Two equities research analysts have rated the stock with a Strong Buy rating, six have given a Buy rating and four have issued a Hold rating to the stock. According to data from MarketBeat.com, the company has a consensus rating of "Moderate Buy" and a consensus target price of $46.93.

GDS Trading Down 4.2%

The company has a debt-to-equity ratio of 1.71, a quick ratio of 2.00 and a current ratio of 2.00. The firm's fifty day simple moving average is $36.01 and its 200-day simple moving average is $30.28. The stock has a market cap of $7.55 billion, a P/E ratio of 11.72 and a beta of 0.36.

Institutional Investors Weigh In On GDS

A number of hedge funds have recently made changes to their positions in the business. Canada Pension Plan Investment Board raised its stake in shares of GDS by 77.7% during the 2nd quarter. Canada Pension Plan Investment Board now owns 7,004,083 shares of the company's stock worth $214,115,000 after purchasing an additional 3,062,658 shares during the period. Tekne Capital Management LLC raised its stake in GDS by 6.9% in the 2nd quarter. Tekne Capital Management LLC now owns 6,263,467 shares of the company's stock valued at $191,474,000 after acquiring an additional 403,256 shares during the period. Aspex Management HK Ltd raised its stake in GDS by 46.4% in the 2nd quarter. Aspex Management HK Ltd now owns 4,406,949 shares of the company's stock valued at $134,720,000 after acquiring an additional 1,397,073 shares during the period. Bamco Inc. NY raised its stake in GDS by 2.8% in the 2nd quarter. Bamco Inc. NY now owns 3,153,908 shares of the company's stock valued at $96,415,000 after acquiring an additional 86,503 shares during the period. Finally, Massachusetts Financial Services Co. MA raised its stake in GDS by 0.9% in the 1st quarter. Massachusetts Financial Services Co. MA now owns 1,177,503 shares of the company's stock valued at $29,826,000 after acquiring an additional 10,838 shares during the period. 33.71% of the stock is currently owned by institutional investors.

GDS Company Profile

GDS Holdings Limited, together with its subsidiaries, develops and operates data centers in the People's Republic of China. The company provides colocation services comprising critical facilities space, customer-available power, racks, and cooling; managed hosting services, including business continuity and disaster recovery, network management, data storage, system security, operating system, database, and server middleware services; managed cloud services; and consulting services.

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