VNET Group (NASDAQ:VNET) Sets New 12-Month Low - Here's What Happened

Key Points

• VNET Group shares hit a new 52-week low of $6.13 on Monday, down from a previous close of $6.55. The stock’s 50-day and 200-day moving averages stood at $7.46 and $8.98, respectively.
• Analyst opinions remain mixed: four analysts rate the stock a Buy, one a Hold and one a Sell. Despite recent downgrades, the consensus rating is “Moderate Buy” with a $16.90 price target.
• VNET missed quarterly earnings expectations, reporting a loss of $0.06 per share versus the expected $0.02 loss, although revenue of $409 million exceeded estimates. The company also reported negative net margin and return on equity, alongside a high debt-to-equity ratio of 4.35.

Shares of VNET Group, Inc. - Unsponsored ADR (NASDAQ:VNET - Get Free Report) hit a new 52-week low on Monday . The stock traded as low as $6.13 and last traded at $6.1450, with a volume of 1368984 shares traded. The stock had previously closed at $6.55.

Analyst Upgrades and Downgrades

A number of equities research analysts have commented on VNET shares. Wall Street Zen cut VNET Group from a "hold" rating to a "sell" rating in a research note on Saturday, June 27th. Morgan Stanley restated an "overweight" rating and set a $14.00 price target on shares of VNET Group in a research note on Wednesday, August 19th. Weiss Ratings restated a "sell (d+)" rating on shares of VNET Group in a report on Wednesday, July 15th. Jefferies Financial Group reaffirmed a "buy" rating and issued a $24.79 price objective on shares of VNET Group in a research report on Tuesday, May 26th. Finally, Deutsche Bank Aktiengesellschaft began coverage on shares of VNET Group in a research note on Tuesday, July 7th. They issued a "buy" rating and a $12.50 target price for the company. Four equities research analysts have rated the stock with a Buy rating, one has given a Hold rating and one has given a Sell rating to the company's stock. According to data from MarketBeat, the stock currently has a consensus rating of "Moderate Buy" and a consensus price target of $16.90.

VNET Group Price Performance

The company has a quick ratio of 0.97, a current ratio of 0.97 and a debt-to-equity ratio of 4.35. The stock's 50 day moving average price is $7.46 and its two-hundred day moving average price is $8.98. The stock has a market cap of $1.66 billion, a price-to-earnings ratio of -4.31 and a beta of 0.32.

VNET Group (NASDAQ:VNET - Get Free Report) last announced its quarterly earnings results on Tuesday, August 18th. The information technology services provider reported ($0.06) earnings per share for the quarter, missing the consensus estimate of ($0.02) by ($0.04). VNET Group had a negative return on equity of 36.25% and a negative net margin of 22.29%.The company had revenue of $409.00 million for the quarter, compared to analyst estimates of $401.77 million. Equities research analysts forecast that VNET Group, Inc. - Unsponsored ADR will post -0.27 EPS for the current fiscal year.

Institutional Investors Weigh In On VNET Group

A number of institutional investors have recently modified their holdings of the business. Leonteq Securities AG purchased a new position in VNET Group during the first quarter worth approximately $25,000. Global Retirement Partners LLC purchased a new stake in shares of VNET Group in the fourth quarter valued at approximately $27,000. EverSource Wealth Advisors LLC increased its position in shares of VNET Group by 52.2% in the second quarter. EverSource Wealth Advisors LLC now owns 4,157 shares of the information technology services provider's stock valued at $29,000 after buying an additional 1,426 shares in the last quarter. Parallel Advisors LLC raised its stake in shares of VNET Group by 26.8% during the 1st quarter. Parallel Advisors LLC now owns 5,495 shares of the information technology services provider's stock worth $46,000 after buying an additional 1,160 shares during the period. Finally, Allianz SE acquired a new position in shares of VNET Group during the 4th quarter worth approximately $50,000. 72.83% of the stock is currently owned by institutional investors and hedge funds.

VNET Group Company Profile

VNET Group, Inc NASDAQ: VNET is a leading carrier-neutral internet data center (IDC) services provider in China. Established in 1999 and headquartered in Beijing, the company delivers a full spectrum of infrastructure solutions that support the growing digital economy. Its core offerings include data center colocation, managed hosting, network connectivity, and disaster recovery services designed to meet the performance and reliability requirements of enterprise and internet content customers.

The company's product portfolio spans private cloud, public cloud and hybrid cloud deployments, enabling clients to scale computing resources on demand.

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.

Continue following MarketBeat

Add MarketBeat as your preferred source on Google to see our latest stories in your feed.

Add As Preferred Source