VNET Group (NASDAQ:VNET) Shares Down 5.7% – Here’s Why

VNET Group, Inc. – Unsponsored ADR (NASDAQ:VNET)’s stock price was down 5.7% during mid-day trading on Thursday . The stock traded as low as $11.01 and last traded at $11.2650. Approximately 653,484 shares traded hands during mid-day trading, a decline of 89% from the average daily volume of 5,901,379 shares. The stock had previously closed at $11.94.

Analysts Set New Price Targets

VNET has been the subject of a number of recent analyst reports. Weiss Ratings reiterated a “sell (d-)” rating on shares of VNET Group in a report on Monday, December 29th. Wall Street Zen cut VNET Group from a “hold” rating to a “sell” rating in a research note on Saturday, October 25th. One analyst has rated the stock with a Strong Buy rating, two have issued a Buy rating and one has issued a Sell rating to the company’s stock. According to data from MarketBeat.com, the stock currently has an average rating of “Moderate Buy” and a consensus target price of $16.30.

VNET Group Stock Performance

The company has a debt-to-equity ratio of 2.88, a current ratio of 0.90 and a quick ratio of 0.90. The company has a market cap of $2.84 billion, a price-to-earnings ratio of -35.20, a price-to-earnings-growth ratio of 1.17 and a beta of -0.02. The stock has a 50-day moving average price of $9.16 and a 200 day moving average price of $8.95.

VNET Group (NASDAQ:VNET) last announced its earnings results on Thursday, November 20th. The information technology services provider reported $0.02 EPS for the quarter, hitting the consensus estimate of $0.02. VNET Group had a negative net margin of 5.99% and a negative return on equity of 3.42%. The firm had revenue of $362.63 million for the quarter, compared to the consensus estimate of $335.87 million. As a group, analysts anticipate that VNET Group, Inc. – Unsponsored ADR will post -0.06 EPS for the current fiscal year.

Institutional Inflows and Outflows

Hedge funds have recently modified their holdings of the company. EverSource Wealth Advisors LLC grew its stake 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. FNY Investment Advisers LLC acquired a new stake in shares of VNET Group in the second quarter valued at approximately $32,000. Farther Finance Advisors LLC bought a new stake in shares of VNET Group in the second quarter valued at approximately $34,000. First Horizon Advisors Inc. acquired a new stake in VNET Group during the second quarter worth approximately $43,000. Finally, Headlands Technologies LLC bought a new position in VNET Group during the 2nd quarter worth $55,000. 72.83% of the stock is currently owned by institutional investors.

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.