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

VNET Group, Inc. (NASDAQ:VNET)’s share price gapped down prior to trading on Monday . The stock had previously closed at $6.39, but opened at $5.70. VNET Group shares last traded at $5.90, with a volume of 1,697,134 shares.

Analyst Upgrades and Downgrades

A number of research analysts have weighed in on the stock. Citigroup boosted their price objective on shares of VNET Group from $16.10 to $20.00 and gave the company a “buy” rating in a research report on Friday, March 14th. Nomura Securities raised shares of VNET Group to a “strong-buy” rating in a research note on Friday, February 21st. Finally, StockNews.com downgraded VNET Group from a “hold” rating to a “sell” rating in a report on Friday, March 14th. One equities research analyst has rated the stock with a sell rating, four have assigned a buy rating and two have given a strong buy rating to the stock. According to data from MarketBeat.com, VNET Group currently has a consensus rating of “Buy” and an average price target of $9.30.

VNET Group Stock Performance

The stock has a 50-day moving average of $10.11 and a 200 day moving average of $6.25. The company has a quick ratio of 0.83, a current ratio of 0.83 and a debt-to-equity ratio of 1.46. The stock has a market cap of $1.66 billion, a PE ratio of -2.90, a P/E/G ratio of 1.01 and a beta of 0.15.

VNET Group (NASDAQ:VNET) last announced its earnings results on Wednesday, March 12th. The information technology services provider reported ($0.01) earnings per share (EPS) for the quarter, missing analysts’ consensus estimates of $0.03 by ($0.04). The firm had revenue of $307.75 million during the quarter, compared to analyst estimates of $284.88 million. VNET Group had a negative net margin of 28.54% and a negative return on equity of 5.68%. Equities analysts predict that VNET Group, Inc. will post -0.06 EPS for the current fiscal year.

Institutional Inflows and Outflows

Institutional investors and hedge funds have recently made changes to their positions in the company. Barclays PLC grew its position in shares of VNET Group by 229.3% in the 4th quarter. Barclays PLC now owns 7,093 shares of the information technology services provider’s stock worth $34,000 after acquiring an additional 4,939 shares in the last quarter. Point72 Asia Singapore Pte. Ltd. acquired a new position in VNET Group in the fourth quarter worth approximately $41,000. Wolverine Trading LLC acquired a new position in shares of VNET Group in the third quarter worth about $46,000. Catalina Capital Group LLC purchased a new stake in VNET Group in the 4th quarter worth about $54,000. Finally, Hsbc Holdings PLC acquired a new stake in shares of VNET Group during the 4th quarter valued at $66,000. 72.83% of the stock is currently owned by hedge funds and other institutional investors.

VNET Group Company Profile

VNET Group, Inc, an investment holding company, provides hosting and related services in China. It offers managed hosting services consisting of managed retail services, such as colocation services that dedicate data center space to house customers' servers and networking equipment, as well as allow customers to lease partial or entire cabinets for their servers; interconnectivity services that allow customers to connect their servers; value-added services, including hybrid IT, bare metal, firewall, server load balancing, data backup and recovery, data center management, server management, and backup server services; cloud services that allow customers to run applications over the internet using IT infrastructure; and VPN Services that extend customers' private networks by setting up connections through the public internet.