VNET Group (NASDAQ:VNET) Trading Down 5.9% – Here’s Why

VNET Group, Inc. – Unsponsored ADR (NASDAQ:VNET)’s stock price traded down 5.9% on Thursday . The stock traded as low as $9.70 and last traded at $9.6110. 679,346 shares were traded during trading, a decline of 91% from the average session volume of 7,161,146 shares. The stock had previously closed at $10.21.

Wall Street Analyst Weigh In

Several equities analysts have weighed in on the stock. Weiss Ratings restated a “sell (d-)” rating on shares of VNET Group in a report on Friday, March 27th. Bank of America restated a “buy” rating on shares of VNET Group in a report on Monday, March 16th. Wall Street Zen upgraded shares of VNET Group from a “sell” rating to a “hold” rating in a report on Saturday, May 9th. Zacks Research downgraded shares of VNET Group from a “hold” rating to a “strong sell” rating in a report on Monday. Finally, Jefferies Financial Group reiterated a “buy” rating and set a $23.55 price target on shares of VNET Group in a report on Monday, March 16th. Two research analysts have rated the stock with a Buy rating and two have given a Sell rating to the stock. Based on data from MarketBeat, VNET Group presently has an average rating of “Hold” and an average target price of $18.08.

VNET Group Trading Down 3.3%

The firm has a market capitalization of $2.67 billion, a PE ratio of -34.12 and a beta of 0.19. The company has a quick ratio of 0.92, a current ratio of 0.92 and a debt-to-equity ratio of 2.68. The business’s fifty day moving average price is $9.13 and its 200 day moving average price is $9.72.

VNET Group (NASDAQ:VNET) last issued its quarterly earnings results on Monday, March 16th. The information technology services provider reported $0.00 EPS for the quarter, missing analysts’ consensus estimates of $0.04 by ($0.04). VNET Group had a positive return on equity of 1.36% and a negative net margin of 2.48%.The firm had revenue of $384.07 million for the quarter, compared to analysts’ expectations of $368.64 million. As a group, analysts expect that VNET Group, Inc. – Unsponsored ADR will post 0.21 EPS for the current fiscal year.

Insider Activity

In related news, Director David Lifeng Chen sold 83,544 shares of the firm’s stock in a transaction that occurred on Monday, March 23rd. The shares were sold at an average price of $1.51, for a total value of $126,151.44. Following the sale, the director directly owned 334,164 shares of the company’s stock, valued at approximately $504,587.64. This trade represents a 20.00% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is available at the SEC website. Corporate insiders own 12.10% of the company’s stock.

Institutional Investors Weigh In On VNET Group

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

About VNET Group

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.