HSBC Reiterates “Reduce” Rating for Daqo New Energy (NYSE:DQ)

Daqo New Energy (NYSE:DQ)‘s stock had its “reduce” rating reaffirmed by investment analysts at HSBC in a research report issued on Monday, Marketbeat Ratings reports. They currently have a $17.50 target price on the semiconductor company’s stock, down from their prior target price of $23.50. HSBC’s target price points to a potential downside of 6.67% from the stock’s previous close.

A number of other analysts have also recently weighed in on DQ. Roth Mkm reissued a “neutral” rating and issued a $23.00 price objective on shares of Daqo New Energy in a research report on Tuesday, April 30th. Daiwa Capital Markets reissued an “underperform” rating and issued a $25.00 price target on shares of Daqo New Energy in a report on Friday, March 15th. Two equities research analysts have rated the stock with a sell rating, two have assigned a hold rating and one has given a buy rating to the stock. Based on data from MarketBeat, the company has a consensus rating of “Hold” and an average price target of $27.63.

Daqo New Energy Price Performance

Shares of Daqo New Energy stock opened at $18.75 on Monday. The stock has a market cap of $1.24 billion, a price-to-earnings ratio of 8.80 and a beta of 0.32. The firm’s 50-day moving average is $24.57 and its two-hundred day moving average is $23.54. Daqo New Energy has a 1 year low of $17.30 and a 1 year high of $44.86.

Daqo New Energy (NYSE:DQ) last released its quarterly earnings data on Monday, April 29th. The semiconductor company reported $0.24 earnings per share (EPS) for the quarter, missing analysts’ consensus estimates of $0.56 by ($0.32). The business had revenue of $415.31 million for the quarter, compared to the consensus estimate of $491.90 million. Daqo New Energy had a net margin of 7.84% and a return on equity of 2.46%. During the same quarter in the prior year, the business posted $3.52 earnings per share. On average, equities analysts expect that Daqo New Energy will post 2.59 earnings per share for the current year.

Institutional Investors Weigh In On Daqo New Energy

Large investors have recently bought and sold shares of the company. PNC Financial Services Group Inc. lifted its stake in Daqo New Energy by 117.5% during the 4th quarter. PNC Financial Services Group Inc. now owns 1,588 shares of the semiconductor company’s stock valued at $42,000 after acquiring an additional 858 shares during the period. Quadrant Capital Group LLC lifted its position in Daqo New Energy by 39.4% during the fourth quarter. Quadrant Capital Group LLC now owns 2,348 shares of the semiconductor company’s stock valued at $62,000 after purchasing an additional 664 shares during the period. Signaturefd LLC boosted its holdings in Daqo New Energy by 112.4% in the fourth quarter. Signaturefd LLC now owns 6,839 shares of the semiconductor company’s stock valued at $182,000 after purchasing an additional 3,619 shares during the last quarter. Daiwa Securities Group Inc. acquired a new stake in Daqo New Energy during the 1st quarter worth about $256,000. Finally, Capstone Investment Advisors LLC purchased a new position in shares of Daqo New Energy during the 1st quarter valued at about $264,000. Hedge funds and other institutional investors own 47.22% of the company’s stock.

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.