HSBC Reaffirms Reduce Rating for Daqo New Energy (NYSE:DQ)

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

DQ has been the subject of several other research reports. Roth Mkm restated a “neutral” rating and issued a $23.00 target price on shares of Daqo New Energy in a report on Tuesday, April 30th. Daiwa Capital Markets reissued an “underperform” rating and issued a $25.00 target price on shares of Daqo New Energy in a research report on Friday, March 15th. Two investment analysts have rated the stock with a sell rating, two have assigned a hold rating and one has assigned a buy rating to the company. According to MarketBeat, Daqo New Energy presently has a consensus rating of “Hold” and a consensus target price of $27.63.

Daqo New Energy Price Performance

Shares of NYSE DQ opened at $18.75 on Monday. The business has a 50-day moving average of $24.57 and a two-hundred day moving average of $23.54. The company has a market capitalization of $1.24 billion, a price-to-earnings ratio of 8.80 and a beta of 0.32. 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 posted its earnings results on Monday, April 29th. The semiconductor company reported $0.24 earnings per share for the quarter, missing the consensus estimate of $0.56 by ($0.32). The business had revenue of $415.31 million for the quarter, compared to analysts’ expectations of $491.90 million. Daqo New Energy had a return on equity of 2.46% and a net margin of 7.84%. During the same quarter in the previous year, the firm earned $3.52 EPS. As a group, equities research analysts expect that Daqo New Energy will post 2.59 earnings per share for the current year.

Institutional Trading of Daqo New Energy

Several hedge funds and other institutional investors have recently made changes to their positions in the stock. Franklin Resources Inc. grew its position in Daqo New Energy by 2.0% during the fourth quarter. Franklin Resources Inc. now owns 2,728,399 shares of the semiconductor company’s stock worth $72,575,000 after buying an additional 53,860 shares during the period. Mackenzie Financial Corp increased its holdings in Daqo New Energy by 23.8% during the 4th quarter. Mackenzie Financial Corp now owns 1,794,353 shares of the semiconductor company’s stock valued at $47,730,000 after acquiring an additional 344,616 shares in the last quarter. Invesco Ltd. raised its position in Daqo New Energy by 6.9% during the third quarter. Invesco Ltd. now owns 1,658,153 shares of the semiconductor company’s stock worth $50,192,000 after acquiring an additional 107,235 shares during the last quarter. Oaktree Capital Management LP lifted its holdings in shares of Daqo New Energy by 31.2% in the third quarter. Oaktree Capital Management LP now owns 1,350,410 shares of the semiconductor company’s stock valued at $40,877,000 after purchasing an additional 320,789 shares in the last quarter. Finally, Ariose Capital Management Ltd increased its stake in shares of Daqo New Energy by 19.1% during the 1st quarter. Ariose Capital Management Ltd now owns 952,924 shares of the semiconductor company’s stock worth $26,825,000 after purchasing an additional 152,800 shares in the last quarter. Institutional investors and hedge funds own 47.22% of the company’s stock.

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.