DAQO New Energy Corp. (NYSE:DQ) Receives Average Recommendation of “Moderate Buy” from Analysts

Shares of DAQO New Energy Corp. (NYSE:DQ) have earned a consensus recommendation of “Moderate Buy” from the seven brokerages that are currently covering the firm, MarketBeat Ratings reports. One research analyst has rated the stock with a sell rating, two have assigned a hold rating, three have given a buy rating and one has given a strong buy rating to the company. The average 12-month target price among analysts that have issued a report on the stock in the last year is $27.0350.

Several analysts recently commented on DQ shares. The Goldman Sachs Group set a $18.30 price target on DAQO New Energy and gave the stock a “neutral” rating in a research report on Wednesday, October 29th. New Street Research set a $15.40 target price on shares of DAQO New Energy in a report on Thursday, September 18th. Citigroup increased their target price on shares of DAQO New Energy from $27.00 to $37.00 and gave the company a “buy” rating in a research report on Monday, September 8th. Hsbc Global Res raised shares of DAQO New Energy from a “hold” rating to a “strong-buy” rating in a research note on Wednesday, August 27th. Finally, HSBC raised shares of DAQO New Energy from a “hold” rating to a “buy” rating and set a $31.00 price objective for the company in a research note on Wednesday, August 27th.

Hedge Funds Weigh In On DAQO New Energy

A number of institutional investors have recently added to or reduced their stakes in DQ. Polunin Capital Partners Ltd acquired a new position in shares of DAQO New Energy in the 3rd quarter worth approximately $37,183,000. Continental General Insurance Co. raised its position in DAQO New Energy by 11.3% in the third quarter. Continental General Insurance Co. now owns 6,641,986 shares of the semiconductor company’s stock valued at $186,839,000 after purchasing an additional 675,784 shares during the period. Arrowstreet Capital Limited Partnership acquired a new position in DAQO New Energy during the third quarter worth $18,280,000. Goldman Sachs Group Inc. boosted its position in shares of DAQO New Energy by 117.2% during the first quarter. Goldman Sachs Group Inc. now owns 1,159,835 shares of the semiconductor company’s stock worth $21,005,000 after buying an additional 625,900 shares during the period. Finally, Hsbc Holdings PLC boosted its position in shares of DAQO New Energy by 514.3% during the first quarter. Hsbc Holdings PLC now owns 501,145 shares of the semiconductor company’s stock worth $9,026,000 after buying an additional 419,569 shares during the period. Hedge funds and other institutional investors own 47.22% of the company’s stock.

DAQO New Energy Stock Performance

Shares of NYSE DQ opened at $32.89 on Wednesday. The firm has a market cap of $2.21 billion, a PE ratio of -6.40 and a beta of 0.66. The firm has a fifty day moving average of $29.74 and a 200 day moving average of $23.41. DAQO New Energy has a one year low of $12.40 and a one year high of $36.59.

DAQO New Energy (NYSE:DQ) last released its quarterly earnings results on Monday, October 27th. The semiconductor company reported ($0.22) earnings per share for the quarter, topping the consensus estimate of ($0.61) by $0.39. DAQO New Energy had a negative net margin of 53.74% and a negative return on equity of 5.89%. The firm had revenue of $244.60 million during the quarter, compared to the consensus estimate of $176.78 million. On average, equities analysts predict that DAQO New Energy will post -3.5 EPS for the current fiscal year.

DAQO New Energy announced that its board has initiated a share repurchase plan on Tuesday, August 26th that authorizes the company to repurchase $0.00 in shares. This repurchase authorization authorizes the semiconductor company to purchase shares of its stock through open market purchases. Stock repurchase plans are typically a sign that the company’s board of directors believes its shares are undervalued.

DAQO New Energy Company Profile

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.