GDS (NASDAQ:GDS) Shares Gap Down – Should You Sell?

GDS Holdings Limited (NASDAQ:GDS) gapped down before the market opened on Wednesday . The stock had previously closed at $38.78, but opened at $37.88. GDS shares last traded at $35.39, with a volume of 945,397 shares traded.

Wall Street Analyst Weigh In

GDS has been the topic of a number of recent analyst reports. Royal Bank of Canada cut shares of GDS from an “outperform” rating to a “sector perform” rating and lifted their price target for the stock from $26.00 to $37.00 in a research report on Tuesday, February 25th. Citizens Jmp raised shares of GDS to a “strong-buy” rating in a research report on Monday, January 27th. Raymond James increased their price objective on shares of GDS from $25.00 to $53.00 and gave the stock an “outperform” rating in a research report on Friday, February 21st. StockNews.com downgraded shares of GDS from a “hold” rating to a “sell” rating in a research report on Friday, February 28th. Finally, JMP Securities assumed coverage on shares of GDS in a research report on Monday, January 27th. They set an “outperform” rating and a $35.00 price objective for the company. One analyst has rated the stock with a sell rating, three have given a hold rating, four have given a buy rating and two have issued a strong buy rating to the company’s stock. Based on data from MarketBeat.com, the stock currently has a consensus rating of “Moderate Buy” and a consensus target price of $33.23.

GDS Stock Performance

The stock’s 50-day moving average price is $30.68 and its 200 day moving average price is $23.88. The company has a debt-to-equity ratio of 2.25, a current ratio of 1.19 and a quick ratio of 1.19. The firm has a market cap of $6.39 billion, a P/E ratio of -10.99 and a beta of 0.07.

Institutional Trading of GDS

Several institutional investors and hedge funds have recently added to or reduced their stakes in the company. Alberta Investment Management Corp acquired a new position in shares of GDS during the 4th quarter worth about $4,935,000. JPMorgan Chase & Co. raised its stake in GDS by 7,553.4% in the third quarter. JPMorgan Chase & Co. now owns 610,821 shares of the company’s stock valued at $12,461,000 after buying an additional 602,840 shares during the period. Y Intercept Hong Kong Ltd lifted its position in shares of GDS by 165.5% in the fourth quarter. Y Intercept Hong Kong Ltd now owns 54,127 shares of the company’s stock valued at $1,286,000 after buying an additional 33,741 shares during the last quarter. Healthcare of Ontario Pension Plan Trust Fund bought a new position in shares of GDS during the 3rd quarter worth approximately $27,212,000. Finally, State of New Jersey Common Pension Fund D acquired a new position in shares of GDS during the 4th quarter worth approximately $1,938,000. 33.71% of the stock is owned by institutional investors.

About GDS

GDS Holdings Limited, together with its subsidiaries, develops and operates data centers in the People's Republic of China. The company provides colocation services comprising critical facilities space, customer-available power, racks, and cooling; managed hosting services, including business continuity and disaster recovery, network management, data storage, system security, operating system, database, and server middleware services; managed cloud services; and consulting services.