AI Squared Management Ltd Makes New $7.32 Million Investment in NetEase, Inc. (NASDAQ:NTES)

AI Squared Management Ltd bought a new stake in shares of NetEase, Inc. (NASDAQ:NTES) in the fourth quarter, according to its most recent disclosure with the Securities and Exchange Commission. The fund bought 78,600 shares of the technology company’s stock, valued at approximately $7,322,000. NetEase makes up approximately 9.3% of AI Squared Management Ltd’s investment portfolio, making the stock its 4th largest position.

Other hedge funds and other institutional investors have also made changes to their positions in the company. Assenagon Asset Management S.A. increased its position in NetEase by 451.3% during the 4th quarter. Assenagon Asset Management S.A. now owns 511,454 shares of the technology company’s stock valued at $47,647,000 after purchasing an additional 418,677 shares during the period. WT Asset Management Ltd boosted its position in NetEase by 381.1% during the 4th quarter. WT Asset Management Ltd now owns 996,686 shares of the technology company’s stock valued at $92,851,000 after acquiring an additional 789,499 shares in the last quarter. FDx Advisors Inc. increased its holdings in shares of NetEase by 11.6% in the 3rd quarter. FDx Advisors Inc. now owns 8,352 shares of the technology company’s stock valued at $837,000 after acquiring an additional 871 shares during the period. Qube Research & Technologies Ltd purchased a new stake in shares of NetEase during the 3rd quarter worth $12,017,000. Finally, China Universal Asset Management Co. Ltd. bought a new stake in NetEase during the third quarter valued at about $1,102,000. Institutional investors own 11.07% of the company’s stock.

NetEase Price Performance

Shares of NASDAQ NTES traded up $2.15 during midday trading on Thursday, hitting $98.78. 797,411 shares of the company’s stock were exchanged, compared to its average volume of 1,712,171. The firm’s fifty day simple moving average is $100.76 and its 200-day simple moving average is $102.59. NetEase, Inc. has a twelve month low of $80.79 and a twelve month high of $118.89. The company has a market cap of $63.69 billion, a PE ratio of 15.27, a P/E/G ratio of 0.94 and a beta of 0.58.

NetEase (NASDAQ:NTES) last released its quarterly earnings data on Thursday, February 29th. The technology company reported $1.42 earnings per share (EPS) for the quarter, missing the consensus estimate of $1.62 by ($0.20). The company had revenue of $3.82 billion during the quarter, compared to analyst estimates of $3.96 billion. NetEase had a net margin of 28.39% and a return on equity of 24.36%. Equities analysts anticipate that NetEase, Inc. will post 7.04 EPS for the current fiscal year.

NetEase Increases Dividend

The business also recently declared a quarterly dividend, which was paid on Thursday, March 28th. Investors of record on Thursday, March 14th were issued a dividend of $1.08 per share. The ex-dividend date of this dividend was Wednesday, March 13th. This represents a $4.32 dividend on an annualized basis and a dividend yield of 4.37%. This is a positive change from NetEase’s previous quarterly dividend of $0.50. NetEase’s dividend payout ratio (DPR) is currently 67.93%.

Wall Street Analysts Forecast Growth

NTES has been the topic of several research analyst reports. StockNews.com upgraded NetEase from a “buy” rating to a “strong-buy” rating in a research note on Wednesday. Morgan Stanley dropped their target price on shares of NetEase from $135.00 to $120.00 and set an “overweight” rating on the stock in a research report on Friday, April 12th. Finally, HSBC cut their price objective on NetEase from $130.00 to $126.00 and set a “buy” rating on the stock in a report on Wednesday, April 24th. Seven equities research analysts have rated the stock with a buy rating and one has assigned a strong buy rating to the company. According to data from MarketBeat.com, the stock currently has a consensus rating of “Buy” and an average price target of $126.00.

About NetEase

NetEase, Inc engages in online games, music streaming, online intelligent learning services, and internet content services businesses in China and internationally . The company operates through Games and Related Value-Added Services, Youdao, Cloud Music, and Innovative Businesses and Others segments.