NetEase (NASDAQ:NTES) Sees Strong Trading Volume – Time to Buy?

Shares of NetEase, Inc. (NASDAQ:NTES) saw strong trading volume on Wednesday . 1,223,003 shares were traded during mid-day trading, an increase of 42% from the previous session’s volume of 863,268 shares.The stock last traded at $124.0020 and had previously closed at $121.81.

Analysts Set New Price Targets

A number of research analysts have issued reports on the company. Benchmark reiterated a “buy” rating on shares of NetEase in a research report on Friday, May 22nd. Morgan Stanley reiterated an “overweight” rating and issued a $158.00 target price on shares of NetEase in a research report on Tuesday, May 26th. Zacks Research upgraded NetEase from a “hold” rating to a “strong-buy” rating in a research report on Monday, June 8th. Finally, Wall Street Zen upgraded NetEase from a “hold” rating to a “buy” rating in a research report on Saturday, May 23rd. One investment analyst has rated the stock with a Strong Buy rating, seven have issued a Buy rating and two have assigned a Hold rating to the stock. Based on data from MarketBeat, NetEase has an average rating of “Moderate Buy” and an average price target of $157.38.

NetEase Stock Up 0.4%

The stock has a 50 day moving average price of $117.56 and a 200 day moving average price of $124.19. The stock has a market capitalization of $78.08 billion, a price-to-earnings ratio of 16.23, a price-to-earnings-growth ratio of 1.63 and a beta of 0.72.

NetEase Cuts Dividend

The company also recently declared a quarterly dividend, which will be paid on Thursday, June 18th. Stockholders of record on Friday, June 5th will be paid a dividend of $0.72 per share. This represents a $2.88 dividend on an annualized basis and a dividend yield of 2.4%. The ex-dividend date of this dividend is Friday, June 5th. NetEase’s dividend payout ratio (DPR) is presently 38.11%.

Institutional Trading of NetEase

A number of hedge funds have recently made changes to their positions in NTES. V Square Quantitative Management LLC acquired a new stake in shares of NetEase during the first quarter valued at about $25,000. Atlas Capital Advisors Inc. acquired a new stake in shares of NetEase during the fourth quarter valued at about $47,000. Smartleaf Asset Management LLC boosted its stake in shares of NetEase by 3,381.8% during the second quarter. Smartleaf Asset Management LLC now owns 383 shares of the technology company’s stock valued at $51,000 after purchasing an additional 372 shares in the last quarter. Harbour Investments Inc. boosted its stake in shares of NetEase by 7,480.0% during the fourth quarter. Harbour Investments Inc. now owns 379 shares of the technology company’s stock valued at $52,000 after purchasing an additional 374 shares in the last quarter. Finally, MidFirst Bank acquired a new stake in shares of NetEase during the fourth quarter valued at about $57,000. 11.07% of the stock is owned by institutional investors and hedge funds.

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.