Dingdong (Cayman) (NYSE:DDL) Stock Price Down 5.4% – Here’s Why

Dingdong (Cayman) Limited (NYSE:DDL) shares fell 5.4% during trading on Thursday . The stock traded as low as $2.89 and last traded at $2.90. 423,693 shares changed hands during mid-day trading, a decline of 44% from the average session volume of 762,680 shares. The stock had previously closed at $3.06.

Dingdong (Cayman) Price Performance

The company has a market cap of $683.88 million, a PE ratio of 32.17 and a beta of 0.44. The company has a 50-day moving average of $3.31 and a 200 day moving average of $3.49.

Dingdong (Cayman) (NYSE:DDL) last released its quarterly earnings results on Thursday, March 6th. The company reported $0.06 EPS for the quarter, topping the consensus estimate of $0.04 by $0.02. The company had revenue of $808.99 million during the quarter, compared to analyst estimates of $798.85 million. Dingdong (Cayman) had a return on equity of 40.86% and a net margin of 0.90%. Equities research analysts expect that Dingdong will post 0.07 EPS for the current year.

Dingdong (Cayman) declared that its Board of Directors has initiated a stock buyback plan on Thursday, March 6th that allows the company to buyback $20.00 million in shares. This buyback authorization allows the company to reacquire up to 2.7% of its stock through open market purchases. Stock buyback plans are usually a sign that the company’s board of directors believes its shares are undervalued.

Institutional Inflows and Outflows

Several large investors have recently modified their holdings of the business. Bank of Nova Scotia purchased a new stake in shares of Dingdong (Cayman) in the fourth quarter valued at approximately $33,000. Susquehanna Fundamental Investments LLC bought a new position in Dingdong (Cayman) in the fourth quarter worth approximately $35,000. Point72 Asia Singapore Pte. Ltd. raised its stake in Dingdong (Cayman) by 319.2% in the fourth quarter. Point72 Asia Singapore Pte. Ltd. now owns 12,866 shares of the company’s stock worth $42,000 after buying an additional 9,797 shares in the last quarter. Two Sigma Advisers LP bought a new position in Dingdong (Cayman) in the fourth quarter worth approximately $47,000. Finally, Diametric Capital LP bought a new position in Dingdong (Cayman) in the fourth quarter worth approximately $63,000. Hedge funds and other institutional investors own 24.66% of the company’s stock.

About Dingdong (Cayman)

Dingdong (Cayman) Limited operates an e-commerce company in China. The company offers fresh groceries, including vegetables, meat and eggs, fruits, and seafood; prepared food, and other food products, such as baked goods, dairy, seasonings, beverages, instant food, oil, and snacks. It offers its products through traditional offline, as well as online channels through Dingdong Fresh app, mini-programs, and third-party platforms.