VNET Group (NASDAQ:VNET) Shares Gap Up Following Analyst Upgrade

VNET Group, Inc. – Unsponsored ADR (NASDAQ:VNET) gapped up before the market opened on Friday after Bank of America raised their price target on the stock from $11.80 to $12.60. The stock had previously closed at $7.34, but opened at $7.65. Bank of America currently has a buy rating on the stock. VNET Group shares last traded at $7.71, with a volume of 945,871 shares changing hands.

Separately, Wall Street Zen raised VNET Group from a “sell” rating to a “hold” rating in a report on Sunday, July 13th. Two investment analysts have rated the stock with a Strong Buy rating and five have given a Buy rating to the stock. Based on data from MarketBeat.com, the stock currently has a consensus rating of “Buy” and a consensus price target of $9.96.

Hedge Funds Weigh In On VNET Group

Large investors have recently added to or reduced their stakes in the company. Mirae Asset Global Investments Co. Ltd. raised its holdings in VNET Group by 111.0% in the 1st quarter. Mirae Asset Global Investments Co. Ltd. now owns 81,197 shares of the information technology services provider’s stock valued at $670,000 after acquiring an additional 42,710 shares in the last quarter. Hsbc Holdings PLC acquired a new position in VNET Group in the 4th quarter valued at approximately $66,000. Cetera Investment Advisers acquired a new position in VNET Group in the 4th quarter valued at approximately $102,000. Oppenheimer & Co. Inc. acquired a new position in VNET Group in the 1st quarter valued at approximately $207,000. Finally, Barclays PLC raised its holdings in VNET Group by 229.3% in the 4th quarter. Barclays PLC now owns 7,093 shares of the information technology services provider’s stock valued at $34,000 after acquiring an additional 4,939 shares in the last quarter. Institutional investors and hedge funds own 72.83% of the company’s stock.

VNET Group Stock Up 12.9%

The company has a quick ratio of 1.10, a current ratio of 1.10 and a debt-to-equity ratio of 2.34. The business has a fifty day simple moving average of $7.51 and a two-hundred day simple moving average of $7.83. The company has a market capitalization of $2.23 billion, a price-to-earnings ratio of -103.63, a P/E/G ratio of 4.52 and a beta of 0.18.

VNET Group (NASDAQ:VNET) last released its quarterly earnings data on Thursday, August 21st. The information technology services provider reported ($0.01) earnings per share for the quarter, missing analysts’ consensus estimates of $0.02 by ($0.03). The company had revenue of $339.65 million for the quarter, compared to analyst estimates of $2.27 billion. VNET Group had a net margin of 0.74% and a return on equity of 0.98%. VNET Group has set its FY 2025 guidance at EPS. Equities analysts expect that VNET Group, Inc. – Unsponsored ADR will post -0.06 EPS for the current year.

VNET Group announced that its board has authorized a share repurchase plan on Friday, June 27th that authorizes the company to buyback $0.00 in outstanding shares. This buyback authorization authorizes the information technology services provider to purchase shares of its stock through open market purchases. Shares buyback plans are typically a sign that the company’s management believes its shares are undervalued.

VNET Group Company Profile

VNET Group, Inc, an investment holding company, provides hosting and related services in China. It offers managed hosting services consisting of managed retail services, such as colocation services that dedicate data center space to house customers' servers and networking equipment, as well as allow customers to lease partial or entire cabinets for their servers; interconnectivity services that allow customers to connect their servers; value-added services, including hybrid IT, bare metal, firewall, server load balancing, data backup and recovery, data center management, server management, and backup server services; cloud services that allow customers to run applications over the internet using IT infrastructure; and VPN Services that extend customers' private networks by setting up connections through the public internet.