Hello Group (NASDAQ:MOMO) Hits New 12-Month Low - Should You Sell?

Key Points

• Hello Group shares hit a new 52-week low, falling to $4.88 during Thursday trading, below the stock’s 50-day and 200-day moving averages.
• Analyst sentiment is mixed, with Buy, Hold and Sell ratings resulting in a consensus “Hold” rating and an average price target of $9.05.
• The company exceeded quarterly earnings and revenue expectations, reporting EPS of $0.26 and revenue of $365.91 million, though revenue declined 5.1% year over year.

Hello Group Inc. Sponsored ADR (NASDAQ:MOMO - Get Free Report) shares reached a new 52-week low during mid-day trading on Thursday . The stock traded as low as $4.88 and last traded at $4.8850, with a volume of 245904 shares traded. The stock had previously closed at $4.93.

Analysts Set New Price Targets

A number of equities research analysts have issued reports on MOMO shares. Wall Street Zen downgraded shares of Hello Group from a "buy" rating to a "hold" rating in a research note on Sunday, July 26th. Benchmark reaffirmed a "buy" rating on shares of Hello Group in a report on Thursday, June 4th. UBS Group set a $10.00 price objective on shares of Hello Group in a research note on Thursday, June 4th. Finally, Weiss Ratings restated a "sell (d+)" rating on shares of Hello Group in a research report on Monday, August 3rd. One research analyst has rated the stock with a Buy rating, one has issued a Hold rating and one has given a Sell rating to the company. According to MarketBeat.com, the stock presently has an average rating of "Hold" and a consensus target price of $9.05.

Hello Group Stock Performance

The firm has a market cap of $527.63 million, a P/E ratio of 4.99 and a beta of 0.45. The company's 50 day moving average is $5.71 and its 200 day moving average is $5.88.

Hello Group (NASDAQ:MOMO - Get Free Report) last announced its quarterly earnings results on Thursday, September 3rd. The information services provider reported $0.26 earnings per share (EPS) for the quarter, topping the consensus estimate of $0.22 by $0.04. Hello Group had a net margin of 11.02% and a return on equity of 10.43%. The company had revenue of $365.91 million during the quarter, compared to the consensus estimate of $363.62 million. During the same period in the prior year, the business earned ($0.58) earnings per share. The company's revenue for the quarter was down 5.1% compared to the same quarter last year.

Hedge Funds Weigh In On Hello Group

Institutional investors and hedge funds have recently added to or reduced their stakes in the business. Athos Capital Ltd purchased a new position in Hello Group during the 4th quarter worth $47,359,000. Assenagon Asset Management S.A. purchased a new stake in shares of Hello Group during the 2nd quarter worth approximately $6,176,000. LSV Asset Management increased its position in Hello Group by 21.3% in the fourth quarter. LSV Asset Management now owns 3,565,971 shares of the information services provider's stock worth $23,357,000 after buying an additional 626,152 shares during the last quarter. Public Employees Retirement System of Ohio bought a new stake in Hello Group in the 2nd quarter valued at about $1,087,000. Finally, Maven Securities LTD bought a new stake in shares of Hello Group in the second quarter valued at approximately $833,000. 50.96% of the stock is currently owned by institutional investors and hedge funds.

About Hello Group

Hello Group Inc, formerly known as Momo Inc, is a Chinese social networking and entertainment company. Founded in 2011, the company operates mobile applications that help users discover, connect and interact with one another through messaging, interest-based communities, live streaming and other digital services.

Its flagship Momo platform provides social networking features, including user profiles, messaging, livestreaming, short-form video and virtual gifting. Hello Group also operates Tantan, a dating and social discovery application acquired in 2018.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to contact@marketbeat.com.