Daqo New Energy (NYSE:DQ) Trading Down 6% – What’s Next?

Daqo New Energy Corp. (NYSE:DQ)’s share price was down 6% on Wednesday . The stock traded as low as $17.03 and last traded at $17.09. Approximately 172,380 shares traded hands during trading, a decline of 75% from the average daily volume of 678,719 shares. The stock had previously closed at $18.19.

Wall Street Analyst Weigh In

Several brokerages recently issued reports on DQ. Daiwa America raised Daqo New Energy from a “hold” rating to a “strong-buy” rating in a research note on Wednesday, October 30th. Daiwa Capital Markets upgraded Daqo New Energy from a “neutral” rating to an “outperform” rating in a research note on Wednesday, October 30th. Hsbc Global Res upgraded Daqo New Energy from a “hold” rating to a “strong-buy” rating in a report on Wednesday, October 2nd. Finally, HSBC raised shares of Daqo New Energy from a “hold” rating to a “buy” rating in a research report on Wednesday, October 2nd. One analyst has rated the stock with a sell rating, one has assigned a hold rating, four have given a buy rating and three have assigned a strong buy rating to the company’s stock. According to data from MarketBeat.com, the company presently has an average rating of “Buy” and a consensus target price of $22.26.

Daqo New Energy Stock Down 7.0 %

The company has a market cap of $1.12 billion, a PE ratio of -9.15 and a beta of 0.26. The firm has a 50 day simple moving average of $19.32 and a 200-day simple moving average of $18.52.

Daqo New Energy (NYSE:DQ) last issued its quarterly earnings data on Wednesday, October 30th. The semiconductor company reported ($0.92) earnings per share (EPS) for the quarter, missing analysts’ consensus estimates 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 analysts’ expectations of $186.90 million. During the same period in the previous year, the firm earned ($0.09) EPS. As a group, equities analysts anticipate that Daqo New Energy Corp. will post -3.5 EPS for the current year.

Institutional Inflows and Outflows

Hedge funds have recently added to or reduced their stakes in the business. Ariose Capital Management Ltd increased its holdings in shares of Daqo New Energy by 27.5% during the fourth quarter. Ariose Capital Management Ltd now owns 1,505,709 shares of the semiconductor company’s stock valued at $29,271,000 after acquiring an additional 324,585 shares in the last quarter. Geode Capital Management LLC increased its stake in Daqo New Energy by 9.2% during the 3rd quarter. Geode Capital Management LLC now owns 33,546 shares of the semiconductor company’s stock valued at $683,000 after purchasing an additional 2,813 shares in the last quarter. Public Employees Retirement System of Ohio purchased a new position in shares of Daqo New Energy in the third quarter worth $1,053,000. Wellington Management Group LLP lifted its stake in shares of Daqo New Energy by 26.0% during the third quarter. Wellington Management Group LLP now owns 128,422 shares of the semiconductor company’s stock worth $2,616,000 after buying an additional 26,462 shares during the period. Finally, Wexford Capital LP grew its holdings in shares of Daqo New Energy by 395.7% during the third quarter. Wexford Capital LP now owns 164,809 shares of the semiconductor company’s stock valued at $3,357,000 after buying an additional 131,564 shares during the last quarter. 47.22% of the stock is owned by institutional investors and hedge funds.

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.