GigaCloud Technology (NASDAQ:GCT) Upgraded by Zacks Research to "Strong-Buy" Rating

Key Points

• Zacks Research has upgraded GigaCloud Technology (NASDAQ:GCT) from a "hold" to a "strong-buy" rating, reflecting growing confidence in the company's performance.
• GigaCloud Technology reported earnings of $0.91 per share for the last quarter, significantly surpassing the consensus estimate of $0.46.
• Insider trading activity has seen CEO Lei Wu and COO Xinyan Hao selling significant shares, which may indicate changing confidence among executives regarding stock value.

GigaCloud Technology (NASDAQ:GCT - Get Free Report) was upgraded by Zacks Research from a "hold" rating to a "strong-buy" rating in a research note issued on Monday,Zacks.com reports.

GCT has been the subject of a number of other research reports. Wall Street Zen raised shares of GigaCloud Technology from a "hold" rating to a "buy" rating in a research report on Saturday. Lake Street Capital raised their target price on shares of GigaCloud Technology from $26.00 to $33.00 and gave the company a "buy" rating in a research report on Friday, August 8th. Finally, Weiss Ratings reaffirmed a "hold (c+)" rating on shares of GigaCloud Technology in a research report on Wednesday, October 8th. One analyst has rated the stock with a Strong Buy rating, one has issued a Buy rating and three have assigned a Hold rating to the stock. According to data from MarketBeat, GigaCloud Technology has a consensus rating of "Moderate Buy" and an average target price of $24.00.

GigaCloud Technology Stock Up 2.4%

Shares of GCT stock opened at $27.35 on Monday. The firm has a fifty day moving average of $28.60 and a 200-day moving average of $21.34. GigaCloud Technology has a 12-month low of $11.17 and a 12-month high of $34.50. The company has a market capitalization of $1.03 billion, a price-to-earnings ratio of 8.21 and a beta of 2.36.

GigaCloud Technology (NASDAQ:GCT - Get Free Report) last issued its quarterly earnings data on Thursday, August 7th. The company reported $0.91 earnings per share (EPS) for the quarter, topping the consensus estimate of $0.46 by $0.45. GigaCloud Technology had a net margin of 11.17% and a return on equity of 32.33%. The company had revenue of $322.61 million during the quarter, compared to the consensus estimate of $290.08 million. During the same quarter in the prior year, the firm earned $1.03 earnings per share. The firm's revenue was up 3.8% compared to the same quarter last year. GigaCloud Technology has set its Q3 2025 guidance at EPS. On average, equities analysts expect that GigaCloud Technology will post 3.1 EPS for the current year.

GigaCloud Technology declared that its Board of Directors has approved a share repurchase plan on Monday, August 18th that permits the company to repurchase $0.00 in shares. This repurchase authorization permits the company to buy shares of its stock through open market purchases. Shares repurchase plans are generally an indication that the company's board of directors believes its stock is undervalued.

Insider Activity

In other news, CEO Lei Wu sold 100,000 shares of the firm's stock in a transaction dated Wednesday, September 10th. The shares were sold at an average price of $28.52, for a total transaction of $2,852,000.00. Following the completion of the sale, the chief executive officer owned 60,000 shares in the company, valued at approximately $1,711,200. This trade represents a 62.50% decrease in their position. The transaction was disclosed in a filing with the SEC, which can be accessed through this link. Also, COO Xinyan Hao sold 13,742 shares of the firm's stock in a transaction dated Monday, September 29th. The stock was sold at an average price of $30.02, for a total transaction of $412,534.84. Following the sale, the chief operating officer owned 793,744 shares of the company's stock, valued at approximately $23,828,194.88. This represents a 1.70% decrease in their position. The disclosure for this sale can be found here. Insiders sold a total of 133,742 shares of company stock valued at $3,894,255 in the last quarter. Company insiders own 24.71% of the company's stock.

Institutional Trading of GigaCloud Technology

Hedge funds have recently modified their holdings of the stock. Ameritas Advisory Services LLC acquired a new stake in shares of GigaCloud Technology during the 2nd quarter worth about $35,000. CWM LLC increased its holdings in GigaCloud Technology by 319.8% in the 1st quarter. CWM LLC now owns 2,821 shares of the company's stock valued at $40,000 after buying an additional 2,149 shares during the period. Tower Research Capital LLC TRC increased its holdings in GigaCloud Technology by 25.6% in the 2nd quarter. Tower Research Capital LLC TRC now owns 2,372 shares of the company's stock valued at $47,000 after buying an additional 483 shares during the period. Ameritas Investment Partners Inc. increased its holdings in GigaCloud Technology by 17.6% in the 2nd quarter. Ameritas Investment Partners Inc. now owns 2,705 shares of the company's stock valued at $54,000 after buying an additional 405 shares during the period. Finally, Russell Investments Group Ltd. increased its holdings in GigaCloud Technology by 724.7% in the 1st quarter. Russell Investments Group Ltd. now owns 4,148 shares of the company's stock valued at $59,000 after buying an additional 3,645 shares during the period. 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.

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