Yalla Group (NYSE:YALA) Shares Gap Down - Time to Sell?

Key Points

• Yalla Group's shares gapped down from $8.72 to $7.92 before trading, finally closing at $8.45 with significant trading volume of 237,998 shares.
• The company reported a net margin of 40.94% and earnings of $0.20 per share for the last quarter, with revenues totaling $84.56 million.
• Several institutional investors have increased their stakes in Yalla Group, indicating growing interest despite the recent stock decline.

Yalla Group Limited Sponsored ADR (NYSE:YALA - Get Free Report) gapped down prior to trading on Tuesday . The stock had previously closed at $8.72, but opened at $7.92. Yalla Group shares last traded at $8.45, with a volume of 237,998 shares.

Wall Street Analysts Forecast Growth

Separately, Wall Street Zen lowered Yalla Group from a "buy" rating to a "hold" rating in a research note on Saturday.

Yalla Group Stock Performance

The firm has a market capitalization of $1.21 billion, a P/E ratio of 9.55 and a beta of 0.80. The business has a 50 day simple moving average of $7.37 and a two-hundred day simple moving average of $6.27.

Yalla Group (NYSE:YALA - Get Free Report) last announced its earnings results on Monday, August 11th. The company reported $0.20 earnings per share for the quarter. The business had revenue of $84.56 million for the quarter. Yalla Group had a return on equity of 20.64% and a net margin of 42.02%.

Hedge Funds Weigh In On Yalla Group

Several institutional investors have recently modified their holdings of YALA. Arrowstreet Capital Limited Partnership increased its position in shares of Yalla Group by 1,075.9% during the 2nd quarter. Arrowstreet Capital Limited Partnership now owns 1,981,119 shares of the company's stock valued at $13,353,000 after purchasing an additional 1,812,642 shares during the last quarter. Ariose Capital Management Ltd bought a new position in shares of Yalla Group during the 2nd quarter valued at about $3,808,000. BNP Paribas Financial Markets bought a new position in shares of Yalla Group during the 4th quarter valued at about $1,838,000. Robeco Institutional Asset Management B.V. grew its position in Yalla Group by 228.0% during the 2nd quarter. Robeco Institutional Asset Management B.V. now owns 625,165 shares of the company's stock worth $4,214,000 after acquiring an additional 434,559 shares during the last quarter. Finally, JPMorgan Chase & Co. purchased a new position in Yalla Group in the 2nd quarter worth approximately $2,810,000. 4.73% of the stock is currently owned by institutional investors.

Yalla Group Company Profile

Yalla Group Limited operates a social networking and gaming platform primarily in the Middle East and North Africa region. It provides mobile applications, including Yalla, a voice-centric group chat platform; and Yalla Ludo, a casual gaming application. The company's platform offers group chatting and games services; and sells virtual items, as well as provides upgrade services.