VNET Group (NASDAQ:VNET) Shares Down 13.2% – What’s Next?

Shares of VNET Group, Inc. (NASDAQ:VNET) dropped 13.2% during mid-day trading on Friday . The company traded as low as $3.73 and last traded at $3.76. Approximately 564,396 shares changed hands during trading, a decline of 63% from the average daily volume of 1,545,161 shares. The stock had previously closed at $4.33.

Wall Street Analyst Weigh In

Several research analysts have recently issued reports on VNET shares. Hsbc Global Res raised VNET Group to a “strong-buy” rating in a research note on Wednesday, October 9th. StockNews.com upgraded shares of VNET Group from a “sell” rating to a “hold” rating in a research report on Wednesday, August 21st. HSBC raised VNET Group from a “hold” rating to a “buy” rating and set a $5.20 target price for the company in a research note on Wednesday, October 9th. Finally, Citigroup initiated coverage on shares of VNET Group in a report on Wednesday, September 4th. They issued a “buy” rating and a $4.00 target price on the stock. One investment analyst has rated the stock with a hold rating, three have assigned a buy rating and one has given a strong buy rating to the company’s stock. According to data from MarketBeat.com, VNET Group presently has a consensus rating of “Buy” and an average price target of $3.97.

VNET Group Stock Performance

The company has a debt-to-equity ratio of 1.47, a quick ratio of 0.87 and a current ratio of 0.87. The firm’s fifty day moving average price is $3.57 and its 200 day moving average price is $2.63.

VNET Group (NASDAQ:VNET) last released its quarterly earnings results on Tuesday, August 27th. The information technology services provider reported $0.06 earnings per share for the quarter, beating analysts’ consensus estimates of $0.01 by $0.05. VNET Group had a negative net margin of 34.62% and a negative return on equity of 11.44%. The business had revenue of $274.35 million for the quarter, compared to the consensus estimate of $266.56 million. As a group, equities analysts expect that VNET Group, Inc. will post 0.02 earnings per share for the current fiscal year.

Institutional Inflows and Outflows

Institutional investors and hedge funds have recently bought and sold shares of the company. Millennium Management LLC increased its stake in shares of VNET Group by 89.1% in the second quarter. Millennium Management LLC now owns 2,973,358 shares of the information technology services provider’s stock worth $6,229,000 after purchasing an additional 1,400,683 shares during the period. Inspire Investing LLC acquired a new stake in VNET Group in the 3rd quarter valued at approximately $1,092,000. Geode Capital Management LLC increased its position in VNET Group by 237.7% in the 3rd quarter. Geode Capital Management LLC now owns 298,539 shares of the information technology services provider’s stock worth $1,218,000 after buying an additional 210,124 shares during the period. Anson Funds Management LP lifted its holdings in shares of VNET Group by 84.9% during the third quarter. Anson Funds Management LP now owns 450,000 shares of the information technology services provider’s stock worth $1,836,000 after buying an additional 206,580 shares during the last quarter. Finally, Virtu Financial LLC bought a new stake in shares of VNET Group in the third quarter valued at approximately $519,000. Institutional investors and hedge funds own 72.83% of the company’s stock.

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.