Daqo New Energy (NYSE:DQ) Trading Down 5.8% – Should You Sell?

Daqo New Energy Corp. (NYSE:DQ)’s share price dropped 5.8% during mid-day trading on Friday . The stock traded as low as $18.20 and last traded at $18.51. Approximately 434,447 shares were traded during mid-day trading, a decline of 63% from the average daily volume of 1,165,819 shares. The stock had previously closed at $19.64.

Analyst Upgrades and Downgrades

Several equities research analysts recently commented on the stock. Hsbc Global Res upgraded shares of Daqo New Energy from a “hold” rating to a “strong-buy” rating in a research note on Wednesday, October 2nd. HSBC raised Daqo New Energy from a “hold” rating to a “buy” rating in a report on Wednesday, October 2nd. StockNews.com upgraded Daqo New Energy to a “sell” rating in a research note on Monday, September 23rd. Nomura Securities upgraded Daqo New Energy to a “strong-buy” rating in a research note on Wednesday, August 28th. Finally, Jefferies Financial Group lowered their target price on shares of Daqo New Energy from $38.40 to $34.05 and set a “buy” rating on the stock in a research report on Monday, August 26th. One analyst has rated the stock with a sell rating, one has issued a hold rating, four have assigned a buy rating and three have given a strong buy rating to the company’s stock. According to data from MarketBeat, the stock presently has a consensus rating of “Buy” and a consensus price target of $22.26.

Daqo New Energy Price Performance

The company has a 50 day moving average price of $21.06 and a 200 day moving average price of $18.49. The firm has a market cap of $1.19 billion, a PE ratio of -9.77 and a beta of 0.28.

Daqo New Energy (NYSE:DQ) last released its earnings results on Wednesday, October 30th. The semiconductor company reported ($0.92) EPS for the quarter, missing the consensus estimate of ($0.80) by ($0.12). Daqo New Energy had a negative return on equity of 1.90% and a negative net margin of 9.16%. The firm had revenue of $198.50 million during the quarter, compared to analyst estimates of $186.90 million. During the same quarter last year, the business posted ($0.09) EPS. On average, equities analysts anticipate that Daqo New Energy Corp. will post -3.5 earnings per share for the current fiscal year.

Institutional Trading of Daqo New Energy

Institutional investors have recently modified their holdings of the business. Blue Trust Inc. lifted its holdings in Daqo New Energy by 12,187.5% in the second quarter. Blue Trust Inc. now owns 1,966 shares of the semiconductor company’s stock valued at $29,000 after acquiring an additional 1,950 shares during the period. Signaturefd LLC increased its holdings in shares of Daqo New Energy by 27.3% in the 3rd quarter. Signaturefd LLC now owns 2,809 shares of the semiconductor company’s stock valued at $57,000 after purchasing an additional 602 shares in the last quarter. AXA S.A. lifted its stake in shares of Daqo New Energy by 202.3% in the second quarter. AXA S.A. now owns 6,387 shares of the semiconductor company’s stock valued at $93,000 after purchasing an additional 4,274 shares during the period. Rhumbline Advisers grew its position in Daqo New Energy by 22.2% during the second quarter. Rhumbline Advisers now owns 8,104 shares of the semiconductor company’s stock worth $118,000 after buying an additional 1,470 shares during the period. Finally, Harel Insurance Investments & Financial Services Ltd. increased its stake in Daqo New Energy by 37.9% in the 2nd quarter. Harel Insurance Investments & Financial Services Ltd. now owns 14,442 shares of the semiconductor company’s stock valued at $211,000 after purchasing an additional 3,970 shares in the last quarter. 47.22% of the stock is currently owned by hedge funds and other institutional investors.

About Daqo New Energy

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.