Li Ning (OTCMKTS:LNNGY) Shares Gap Down - Should You Sell?

Key Points

• Li Ning shares experienced a significant drop, gapping down from a previous close of $58.07 to an opening price of $56.24 before recovering slightly to $58.26.
• Zacks Research downgraded Li Ning's rating from "hold" to a "strong sell", with the consensus rating currently being a "Sell" across analysts.
• The company announced a substantial dividend increase, raising it to $1.1001 per share, representing a yield of 287.0%, with payments scheduled for October 1st.

Li Ning Co. (OTCMKTS:LNNGY - Get Free Report) shares gapped down before the market opened on Tuesday . The stock had previously closed at $58.07, but opened at $56.24. Li Ning shares last traded at $58.26, with a volume of 113 shares traded.

Analyst Upgrades and Downgrades

Separately, Zacks Research lowered Li Ning from a "hold" rating to a "strong sell" rating in a report on Wednesday, August 27th. One analyst has rated the stock with a Sell rating, According to data from MarketBeat, the company currently has an average rating of "Sell".

Li Ning Stock Up 2.6%

The firm has a 50 day moving average price of $56.61 and a 200 day moving average price of $52.82.

Li Ning Increases Dividend

The business also recently disclosed a dividend, which will be paid on Wednesday, October 1st. Stockholders of record on Friday, September 5th will be paid a dividend of $1.1001 per share. The ex-dividend date is Thursday, September 4th. This is an increase from Li Ning's previous dividend of $0.65. This represents a dividend yield of 287.0%.

Li Ning Company Profile

Li Ning Company Limited, a sports brand company, engages in the research and development, design, manufacture, marketing, distribution, and retail of sporting goods in the People's Republic of China. The company offers sporting goods, including professional and leisure footwear, apparel, equipment, and accessories under the LI-NING brand.