NetEase (NASDAQ:NTES) Upgraded by Wall Street Zen to "Strong-Buy" Rating

Key Points

• NetEase has been upgraded by Wall Street Zen from a "buy" rating to a "strong-buy" rating, indicating increased investor confidence in the company's performance.
• Despite optimistic upgrades, other analysts have adjusted their ratings on NetEase, with JPMorgan moving from "overweight" to "neutral" and Zacks Research downgrading from "strong-buy" to "hold".
• Institutional ownership of NetEase is significant, with major hedge funds like Mirae Asset Global Investments increasing their holdings substantially in the last quarter.

Wall Street Zen upgraded shares of NetEase (NASDAQ:NTES - Free Report) from a buy rating to a strong-buy rating in a report issued on Saturday morning.

A number of other equities analysts also recently issued reports on NTES. JPMorgan Chase & Co. downgraded NetEase from an "overweight" rating to a "neutral" rating and raised their price target for the stock from $135.00 to $140.00 in a research note on Monday, July 28th. Zacks Research downgraded NetEase from a "strong-buy" rating to a "hold" rating in a research note on Friday, August 15th. Barclays set a $120.00 price target on NetEase and gave the stock an "equal weight" rating in a research note on Monday, August 18th. Finally, Deutsche Bank Aktiengesellschaft started coverage on NetEase in a research note on Monday, May 12th. They issued a "buy" rating and a $130.00 price target on the stock. Six analysts have rated the stock with a Buy rating and three have issued a Hold rating to the stock. According to MarketBeat.com, the stock has a consensus rating of "Moderate Buy" and a consensus target price of $128.78.

NetEase Stock Performance

Shares of NTES stock traded down $0.46 on Friday, reaching $135.26. The stock had a trading volume of 228,916 shares, compared to its average volume of 1,205,322. The stock has a market cap of $85.70 billion, a P/E ratio of 18.30, a price-to-earnings-growth ratio of 1.82 and a beta of 0.67. NetEase has a 1 year low of $75.85 and a 1 year high of $141.45. The company has a 50 day simple moving average of $132.78 and a 200 day simple moving average of $117.46.

NetEase Announces Dividend

The firm also recently disclosed a quarterly dividend, which will be paid on Thursday, September 11th. Stockholders of record on Thursday, August 28th will be given a $0.675 dividend. This represents a $2.70 annualized dividend and a dividend yield of 2.0%. The ex-dividend date is Thursday, August 28th. NetEase's payout ratio is presently 30.72%.

Hedge Funds Weigh In On NetEase

Several large investors have recently made changes to their positions in NTES. Sumitomo Mitsui Trust Group Inc. lifted its position in shares of NetEase by 20.8% in the first quarter. Sumitomo Mitsui Trust Group Inc. now owns 8,685 shares of the technology company's stock worth $894,000 after buying an additional 1,495 shares in the last quarter. Sequoia Financial Advisors LLC purchased a new stake in shares of NetEase in the first quarter worth about $398,000. Concurrent Investment Advisors LLC lifted its position in shares of NetEase by 5.4% in the first quarter. Concurrent Investment Advisors LLC now owns 2,569 shares of the technology company's stock worth $264,000 after buying an additional 132 shares in the last quarter. GAMMA Investing LLC lifted its position in shares of NetEase by 10,192.0% in the first quarter. GAMMA Investing LLC now owns 2,573 shares of the technology company's stock worth $265,000 after buying an additional 2,548 shares in the last quarter. Finally, Pine Haven Investment Counsel Inc purchased a new stake in shares of NetEase in the first quarter worth about $206,000. 11.07% of the stock is currently owned by hedge funds and other institutional investors.

NetEase Company Profile

NetEase, Inc engages in online games, music streaming, online intelligent learning services, and internet content services businesses in China and internationally . The company operates through Games and Related Value-Added Services, Youdao, Cloud Music, and Innovative Businesses and Others segments.