Youdao (NYSE:DAO) Shares Up 7.9% – Still a Buy?

Youdao, Inc. Unsponsored ADR (NYSE:DAO) shares were up 7.9% on Friday . The company traded as high as $9.52 and last traded at $9.9070. Approximately 2,520 shares changed hands during mid-day trading, a decline of 98% from the average daily volume of 112,424 shares. The stock had previously closed at $9.18.

Analyst Ratings Changes

Several analysts have recently issued reports on DAO shares. Citigroup upgraded shares of Youdao from a “hold” rating to a “buy” rating in a research report on Thursday, February 12th. Weiss Ratings reaffirmed a “sell (d+)” rating on shares of Youdao in a research note on Monday, December 22nd. Finally, Wall Street Zen lowered Youdao from a “buy” rating to a “hold” rating in a research note on Sunday, November 30th. One investment analyst has rated the stock with a Buy rating and one has issued a Sell rating to the stock. According to MarketBeat, Youdao presently has an average rating of “Hold”.

Youdao Stock Performance

The firm has a market cap of $1.21 billion, a price-to-earnings ratio of 78.13 and a beta of 0.36. The company has a 50 day moving average price of $10.31 and a 200 day moving average price of $9.89.

Youdao (NYSE:DAO) last posted its earnings results on Wednesday, February 11th. The company reported $0.07 EPS for the quarter, beating analysts’ consensus estimates of $0.04 by $0.03. Youdao had a net margin of 1.81% and a negative return on equity of 6.41%. The company had revenue of $223.64 million for the quarter, compared to analysts’ expectations of $211.46 million.

Institutional Trading of Youdao

A hedge fund recently raised its stake in Youdao stock. Public Employees Retirement System of Ohio grew its position in shares of Youdao, Inc. Unsponsored ADR (NYSE:DAO) by 35.9% during the third quarter, according to its most recent Form 13F filing with the Securities & Exchange Commission. The institutional investor owned 29,286 shares of the company’s stock after purchasing an additional 7,729 shares during the period. Public Employees Retirement System of Ohio’s holdings in Youdao were worth $291,000 as of its most recent SEC filing. 21.91% of the stock is owned by hedge funds and other institutional investors.

About Youdao

Youdao, Inc (NYSE: DAO), established in 2006 as a subsidiary of NetEase, is headquartered in Beijing, China. The company went public on the New York Stock Exchange in October 2019, marking a significant milestone in its development as an intelligent learning and knowledge service provider. Since its inception, Youdao has combined cloud computing, artificial intelligence and big data analytics to create an adaptive learning ecosystem designed to meet the needs of individual learners and organizations.

At the core of Youdao’s offerings is its suite of digital dictionaries and translation tools, including the flagship Youdao Dictionary app and translation engine.