WeRide (NASDAQ:WRD) Shares Down 6% - Should You Sell?

Key Points

• WeRide shares fell 6% to about $4.66 in mid-day trading, below both its 50-day ($5.78) and 200-day ($6.49) moving averages.
• Analyst sentiment remains mixed but leans positive: seven analysts rate the stock Buy, with a consensus “Moderate Buy” rating and an average price target of $11.62, despite some recent Sell downgrades.
• WeRide reported a quarterly loss of $0.18 per share on $34.11 million in revenue, alongside a negative 199.09% net margin and 24.12% negative return on equity; institutional investors, including Bank of America, have recently increased their positions.

WeRide Inc. (NASDAQ:WRD - Get Free Report) fell 6% during mid-day trading on Thursday. The stock traded as low as $4.65 and last traded at $4.6610. Approximately 940,958 shares were traded during mid-day trading, a decline of 71% from the average daily volume of 3,299,384 shares. The stock had previously closed at $4.96.

Analysts Set New Price Targets

Several research firms have issued reports on WRD. Bank of America restated a "buy" rating and set a $10.70 target price on shares of WeRide in a research report on Friday, August 14th. Morgan Stanley reiterated an "overweight" rating and set a $12.00 price objective on shares of WeRide in a research note on Wednesday, August 19th. Weiss Ratings raised WeRide from a "sell (e+)" rating to a "sell (d-)" rating in a report on Friday, September 25th. Finally, Wall Street Zen downgraded WeRide from a "hold" rating to a "sell" rating in a research note on Saturday, August 15th. Seven analysts have rated the stock with a Buy rating, one has given a Hold rating and one has assigned a Sell rating to the stock. According to MarketBeat.com, WeRide presently has an average rating of "Moderate Buy" and a consensus target price of $11.62.

WeRide Price Performance

The stock has a market capitalization of $1.41 billion, a P/E ratio of -6.06 and a beta of 1.90. The company has a debt-to-equity ratio of 0.01, a quick ratio of 5.00 and a current ratio of 5.36. The firm has a 50-day moving average price of $5.78 and a 200 day moving average price of $6.49.

WeRide (NASDAQ:WRD - Get Free Report) last released its earnings results on Tuesday, June 30th. The company reported ($0.18) earnings per share for the quarter. WeRide had a negative return on equity of 24.12% and a negative net margin of 199.09%.The firm had revenue of $34.11 million during the quarter. On average, analysts expect that WeRide Inc. will post -0.67 EPS for the current year.

Institutional Investors Weigh In On WeRide

A number of institutional investors have recently made changes to their positions in the business. Squarepoint Ops LLC bought a new position in shares of WeRide during the 2nd quarter valued at $517,000. Nykredit A S bought a new stake in WeRide in the second quarter worth $57,000. Concurrent Investment Advisors LLC lifted its stake in WeRide by 31.2% in the second quarter. Concurrent Investment Advisors LLC now owns 46,300 shares of the company's stock worth $269,000 after purchasing an additional 11,000 shares during the last quarter. Headlands Technologies LLC boosted its position in WeRide by 586.3% during the second quarter. Headlands Technologies LLC now owns 104,585 shares of the company's stock valued at $609,000 after buying an additional 89,347 shares during the period. Finally, Bank of America Corp DE boosted its position in WeRide by 4,926.0% during the first quarter. Bank of America Corp DE now owns 3,595,319 shares of the company's stock valued at $29,086,000 after buying an additional 3,523,785 shares during the period.

WeRide Company Profile

WeRide Inc is an autonomous-driving technology company founded in 2017 and headquartered in Guangzhou, China. The company develops software, hardware and vehicle systems designed to support autonomous driving across passenger transportation, logistics and urban services.

Its product portfolio includes robotaxis for on-demand passenger transportation, robobuses for scheduled transit, robovans for logistics and delivery applications, and autonomous street-sweeping vehicles. WeRide also develops advanced driver-assistance and autonomous-driving solutions for passenger and commercial vehicles, working with automotive manufacturers, mobility providers and other business partners.

WeRide has conducted commercial and pilot operations in multiple Chinese cities and has expanded its activities internationally, including deployments and testing in markets such as the United Arab Emirates and Singapore.

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