Daqo New Energy (NYSE:DQ) Shares Gap Down – Should You Sell?

Daqo New Energy Corp. (NYSE:DQ)’s share price gapped down prior to trading on Monday . The stock had previously closed at $19.06, but opened at $18.66. Daqo New Energy shares last traded at $19.43, with a volume of 67,726 shares traded.

Analysts Set New Price Targets

Separately, StockNews.com raised shares of Daqo New Energy to a “sell” rating in a research report on Tuesday. One equities research analyst has rated the stock with a sell rating, one has issued a hold rating, four have given a buy rating and three have given a strong buy rating to the company’s stock. Based on data from MarketBeat, Daqo New Energy has a consensus rating of “Buy” and an average target price of $22.26.

Daqo New Energy Stock Performance

The stock’s fifty day moving average is $19.64 and its two-hundred day moving average is $19.54. The firm has a market capitalization of $1.30 billion, a price-to-earnings ratio of -10.67 and a beta of 0.41.

Daqo New Energy (NYSE:DQ) last released its quarterly earnings results on Thursday, February 27th. The semiconductor company reported ($2.71) earnings per share for the quarter, missing analysts’ consensus estimates of ($0.69) by ($2.02). The firm had revenue of $195.36 million for the quarter, compared to analyst estimates of $153.54 million. Daqo New Energy had a negative net margin of 9.16% and a negative return on equity of 1.90%. Sell-side analysts anticipate that Daqo New Energy Corp. will post -3.5 earnings per share for the current year.

Institutional Inflows and Outflows

Hedge funds have recently added to or reduced their stakes in the stock. Generali Investments CEE investicni spolecnost a.s. acquired a new position in Daqo New Energy during the 4th quarter worth $52,000. Daiwa Securities Group Inc. grew its holdings in Daqo New Energy by 15.4% during the 3rd quarter. Daiwa Securities Group Inc. now owns 10,500 shares of the semiconductor company’s stock worth $214,000 after acquiring an additional 1,400 shares in the last quarter. Point72 Asia Singapore Pte. Ltd. grew its holdings in Daqo New Energy by 66.1% during the 3rd quarter. Point72 Asia Singapore Pte. Ltd. now owns 14,000 shares of the semiconductor company’s stock worth $285,000 after acquiring an additional 5,570 shares in the last quarter. Diametric Capital LP grew its holdings in Daqo New Energy by 25.5% during the 4th quarter. Diametric Capital LP now owns 16,018 shares of the semiconductor company’s stock worth $311,000 after acquiring an additional 3,255 shares in the last quarter. Finally, Van ECK Associates Corp grew its holdings in Daqo New Energy by 7.6% during the 4th quarter. Van ECK Associates Corp now owns 20,067 shares of the semiconductor company’s stock worth $390,000 after acquiring an additional 1,410 shares in the last quarter. 47.22% of the stock is owned by institutional investors and hedge funds.

Daqo New Energy Company Profile

Daqo New Energy Corp., together with its subsidiaries, manufactures and sells polysilicon to photovoltaic product manufacturers in the People's Republic of China. Its products are used in ingots, wafers, cells, and modules for solar power solutions. The company was formerly known as Mega Stand International Limited and changed its name to Daqo New Energy Corp.