GigaCloud Technology (NASDAQ:GCT) Trading Up 5.8% - Here's Why

GigaCloud Technology Inc. (NASDAQ:GCT - Get Free Report)'s stock price shot up 5.8% during trading on Wednesday . The company traded as high as $18.63 and last traded at $18.72. 449,784 shares traded hands during mid-day trading, a decline of 63% from the average session volume of 1,201,453 shares. The stock had previously closed at $17.69.

Wall Street Analyst Weigh In

A number of brokerages recently commented on GCT. Roth Capital downgraded shares of GigaCloud Technology from a "strong-buy" rating to a "hold" rating in a research report on Tuesday, March 4th. Lake Street Capital dropped their price objective on shares of GigaCloud Technology from $50.00 to $26.00 and set a "buy" rating for the company in a research note on Tuesday, March 4th. Finally, Roth Mkm cut shares of GigaCloud Technology from a "buy" rating to a "neutral" rating and lowered their price objective for the company from $32.00 to $15.00 in a research note on Tuesday, March 4th.

GigaCloud Technology Stock Performance

The stock has a market cap of $753.79 million, a price-to-earnings ratio of 6.45 and a beta of 2.36. The business's fifty day simple moving average is $16.82 and its 200 day simple moving average is $17.21.

GigaCloud Technology (NASDAQ:GCT - Get Free Report) last issued its earnings results on Monday, May 12th. The company reported $0.68 earnings per share (EPS) for the quarter, beating analysts' consensus estimates of $0.46 by $0.22. The business had revenue of $271.91 million for the quarter, compared to analyst estimates of $259.80 million. GigaCloud Technology had a net margin of 10.64% and a return on equity of 31.90%. The company's revenue for the quarter was up 8.3% on a year-over-year basis. During the same quarter in the prior year, the business posted $0.84 EPS. As a group, analysts forecast that GigaCloud Technology Inc. will post 3.1 EPS for the current fiscal year.

GigaCloud Technology announced that its board has authorized a stock repurchase program on Wednesday, April 2nd that allows the company to buyback $16.00 million in outstanding shares. This buyback authorization allows the company to buy up to 2.7% of its stock through open market purchases. Stock buyback programs are typically an indication that the company's leadership believes its shares are undervalued.

Institutional Investors Weigh In On GigaCloud Technology

Several institutional investors and hedge funds have recently bought and sold shares of GCT. Principal Financial Group Inc. increased its position in GigaCloud Technology by 16.6% in the 4th quarter. Principal Financial Group Inc. now owns 73,206 shares of the company's stock valued at $1,356,000 after acquiring an additional 10,446 shares during the period. Bank of New York Mellon Corp grew its holdings in shares of GigaCloud Technology by 99.8% in the 4th quarter. Bank of New York Mellon Corp now owns 102,698 shares of the company's stock worth $1,902,000 after acquiring an additional 51,310 shares during the last quarter. US Bancorp DE lifted its holdings in shares of GigaCloud Technology by 200.0% during the fourth quarter. US Bancorp DE now owns 1,500 shares of the company's stock valued at $28,000 after purchasing an additional 1,000 shares during the last quarter. Charles Schwab Investment Management Inc. boosted its stake in GigaCloud Technology by 0.8% in the 4th quarter. Charles Schwab Investment Management Inc. now owns 216,198 shares of the company's stock worth $4,004,000 after purchasing an additional 1,629 shares during the period. Finally, Victory Capital Management Inc. acquired a new position in GigaCloud Technology in the 4th quarter worth approximately $1,304,000. Institutional investors and hedge funds own 34.94% of the company's stock.

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.