GigaCloud Technology (NASDAQ:GCT) Sees Unusually-High Trading Volume on Better-Than-Expected Earnings

Shares of GigaCloud Technology Inc. (NASDAQ:GCT - Get Free Report) saw an uptick in trading volume on Tuesday after the company announced better than expected quarterly earnings. 739,650 shares changed hands during trading, a decline of 26% from the previous session's volume of 1,005,178 shares.The stock last traded at $17.64 and had previously closed at $15.90.

The company reported $0.68 earnings per share (EPS) for the quarter, topping the consensus estimate of $0.46 by $0.22. GigaCloud Technology had a net margin of 11.75% and a return on equity of 40.32%. The business had revenue of $271.91 million for the quarter, compared to the consensus estimate of $259.80 million. During the same quarter in the prior year, the company earned $0.84 EPS. The firm's quarterly revenue was up 8.3% on a year-over-year basis.

GigaCloud Technology declared that its Board of Directors has initiated a stock repurchase plan on Wednesday, April 2nd that allows the company to repurchase $16.00 million in outstanding shares. This repurchase authorization allows the company to buy up to 2.7% of its shares through open market purchases. Shares repurchase plans are often a sign that the company's management believes its shares are undervalued.

Analyst Upgrades and Downgrades

Several research analysts have recently issued reports on GCT shares. Roth Mkm lowered shares of GigaCloud Technology from a "buy" rating to a "neutral" rating and reduced their target price for the company from $32.00 to $15.00 in a research note on Tuesday, March 4th. Roth Capital lowered shares of GigaCloud Technology from a "strong-buy" rating to a "hold" rating in a research note on Tuesday, March 4th. Finally, Lake Street Capital reduced their target price on shares of GigaCloud Technology from $50.00 to $26.00 and set a "buy" rating on the stock in a research note on Tuesday, March 4th. Two equities research analysts have rated the stock with a hold rating, two have assigned a buy rating and one has issued a strong buy rating to the company. According to MarketBeat, GigaCloud Technology presently has an average rating of "Moderate Buy" and an average price target of $36.67.

Institutional Trading of GigaCloud Technology

A number of hedge funds have recently modified their holdings of GCT. Nuveen LLC acquired a new stake in shares of GigaCloud Technology in the 1st quarter valued at approximately $6,502,000. Pacer Advisors Inc. acquired a new stake in shares of GigaCloud Technology in the 1st quarter valued at approximately $4,806,000. Oasis Management Co Ltd. acquired a new stake in shares of GigaCloud Technology in the 4th quarter valued at approximately $5,550,000. Jane Street Group LLC raised its position in shares of GigaCloud Technology by 1,599.5% in the 4th quarter. Jane Street Group LLC now owns 236,202 shares of the company's stock valued at $4,374,000 after acquiring an additional 222,304 shares during the period. Finally, Nuveen Asset Management LLC raised its position in shares of GigaCloud Technology by 37.1% in the 4th quarter. Nuveen Asset Management LLC now owns 409,787 shares of the company's stock valued at $7,589,000 after acquiring an additional 110,804 shares during the period. 34.94% of the stock is currently owned by institutional investors and hedge funds.

GigaCloud Technology Stock Performance

The firm has a market capitalization of $756.45 million, a price-to-earnings ratio of 5.97 and a beta of 2.16. The business's 50-day moving average is $14.06 and its two-hundred day moving average is $18.34.

GigaCloud Technology Company Profile

GigaCloud Technology Inc provides end-to-end B2B ecommerce solutions for large parcel merchandise in the United States and internationally. The company offers GigaCloud Marketplace integrates product discovery to payments to logistics tools into one easy-to-use platform. Its marketplace connects manufacturers primarily in Asia with resellers in the United States, Asia, and Europe to execute cross-border transactions across furniture, home appliance, fitness equipment, and other large parcel categories.