NetEase (NASDAQ:NTES) Reaches New 12-Month Low – Time to Sell?

Shares of NetEase, Inc. (NASDAQ:NTES) hit a new 52-week low during mid-day trading on Friday . The stock traded as low as $106.06 and last traded at $114.34, with a volume of 5071992 shares trading hands. The stock had previously closed at $116.82.

Trending Headlines about NetEase

Here are the key news stories impacting NetEase this week:

• Positive Sentiment: NetEase reported first-quarter revenue of about RMB 30.6 billion ($4.44 billion), topping expectations, with gaming strength driving growth and management pointing to a Q3 launch window for Sea of Elements. NetEase targets Sea of Elements Q3 launch window as Q1 revenue reaches RMB 30.6B
• Positive Sentiment: Earnings-call coverage highlighted strong revenue growth from NetEase’s gaming business, reinforcing that core operations remain healthy despite the stock’s weakness. NetEase Inc (NTES) Q1 2026 Earnings Call Highlights: Strong Revenue Growth Driven by Gaming Success
• Neutral Sentiment: NetEase declared a first-quarter 2026 cash dividend for Hong Kong shareholders, which is supportive for income investors but not a major catalyst by itself. NetEase Declares First-Quarter 2026 Cash Dividend for Hong Kong Shareholders
• Negative Sentiment: Despite beating revenue estimates, NetEase shares slipped after the company missed earnings per share expectations, with reported EPS of $0.51 versus the $2.19 consensus. NetEase earnings results
• Negative Sentiment: Multiple headlines noted that the stock declined on the earnings release, indicating investors were disappointed by the profit outlook or earnings quality despite the sales beat. Chinese video game publisher NetEase drops despite Q1 beat

Analyst Ratings Changes

A number of analysts have recently weighed in on NTES shares. Nomura cut their target price on NetEase from $160.00 to $155.00 and set a “buy” rating for the company in a research report on Friday, February 13th. Morgan Stanley reaffirmed an “overweight” rating and issued a $154.00 price target on shares of NetEase in a research note on Monday, March 2nd. Benchmark reaffirmed a “buy” rating on shares of NetEase in a research report on Thursday, February 12th. Citigroup reiterated a “buy” rating on shares of NetEase in a research note on Wednesday, February 11th. Finally, Barclays decreased their target price on shares of NetEase from $135.00 to $132.00 and set an “equal weight” rating on the stock in a report on Thursday, February 12th. Seven research analysts have rated the stock with a Buy rating and three have given a Hold rating to the stock. According to MarketBeat, NetEase currently has a consensus rating of “Moderate Buy” and a consensus target price of $156.88.

NetEase Stock Down 2.1%

The stock has a market cap of $72.44 billion, a price-to-earnings ratio of 15.58, a P/E/G ratio of 1.51 and a beta of 0.72. The company has a 50 day simple moving average of $114.52 and a 200 day simple moving average of $126.26.

Institutional Trading of NetEase

A number of institutional investors and hedge funds have recently added to or reduced their stakes in NTES. Cornerstone Planning Group LLC bought a new position in shares of NetEase in the 3rd quarter worth about $33,000. V Square Quantitative Management LLC bought a new stake in shares of NetEase during the 1st quarter valued at about $25,000. Atlas Capital Advisors Inc. acquired a new stake in NetEase during the fourth quarter worth approximately $47,000. Harbour Investments Inc. grew its stake in NetEase by 7,480.0% during the fourth quarter. Harbour Investments Inc. now owns 379 shares of the technology company’s stock worth $52,000 after purchasing an additional 374 shares during the period. Finally, Smartleaf Asset Management LLC increased its holdings in NetEase by 3,381.8% in the second quarter. Smartleaf Asset Management LLC now owns 383 shares of the technology company’s stock worth $51,000 after purchasing an additional 372 shares in the last quarter. Institutional investors and hedge funds own 11.07% of the company’s stock.

NetEase Company Profile

NetEase, Inc (NASDAQ: NTES) is a Chinese technology company headquartered in Hangzhou that develops and operates Internet services and products. Founded in 1997 by William Ding (Ding Lei), the company has grown from an early web portal and e-mail provider into a diversified online services group. William Ding has served as the company’s founder and long-time leader, guiding its expansion into games, digital content and consumer services.

The company’s primary business is interactive entertainment: NetEase Games designs, develops and publishes PC and mobile games for domestic and international audiences, offering a mix of self-developed franchises and titles published under licensing and strategic partnerships.