VNET Group (NASDAQ:VNET) Shares Gap Down – Here’s Why

Shares of VNET Group, Inc. – Unsponsored ADR (NASDAQ:VNET) gapped down before the market opened on Thursday . The stock had previously closed at $8.81, but opened at $8.14. VNET Group shares last traded at $8.5160, with a volume of 1,554,881 shares traded.

Analyst Ratings Changes

VNET has been the subject of several analyst reports. Morgan Stanley reissued an “overweight” rating and issued a $16.00 price target on shares of VNET Group in a research note on Wednesday, May 27th. Zacks Research raised shares of VNET Group from a “strong sell” rating to a “hold” rating in a research report on Wednesday, May 27th. Weiss Ratings reiterated a “sell (d-)” rating on shares of VNET Group in a report on Friday, March 27th. Jefferies Financial Group reiterated a “buy” rating and issued a $24.79 price objective on shares of VNET Group in a research report on Tuesday, May 26th. Finally, Bank of America set a $16.30 target price on VNET Group and gave the stock a “buy” rating in a research note on Tuesday, May 26th. Three analysts have rated the stock with a Buy rating, one has given a Hold rating and one has assigned a Sell rating to the company. According to MarketBeat.com, the company currently has a consensus rating of “Hold” and an average price target of $19.03.

VNET Group Trading Down 8.5%

The firm has a market capitalization of $2.18 billion, a price-to-earnings ratio of -5.89 and a beta of 0.28. The business’s 50-day simple moving average is $9.22 and its two-hundred day simple moving average is $9.73. The company has a quick ratio of 0.99, a current ratio of 0.99 and a debt-to-equity ratio of 3.99.

VNET Group (NASDAQ:VNET) last issued its quarterly earnings data on Tuesday, May 26th. The information technology services provider reported ($1.20) EPS for the quarter, missing the consensus estimate of ($0.03) by ($1.17). VNET Group had a negative return on equity of 31.59% and a negative net margin of 22.01%.The company had revenue of $390.32 million during the quarter, compared to analyst estimates of $388.47 million. Equities analysts forecast that VNET Group, Inc. – Unsponsored ADR will post -0.24 earnings per share for the current year.

Insider Transactions at VNET Group

In other VNET Group news, Director Sean Shao sold 60,000 shares of the company’s stock in a transaction on Monday, June 1st. The stock was sold at an average price of $1.71, for a total transaction of $102,600.00. Following the transaction, the director directly owned 983,820 shares in the company, valued at $1,682,332.20. This represents a 5.75% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available at the SEC website. 12.10% of the stock is currently owned by insiders.

Institutional Investors Weigh In On VNET Group

Institutional investors have recently modified their holdings of the company. Parallel Advisors LLC grew its stake in shares of VNET Group by 26.8% in the first quarter. Parallel Advisors LLC now owns 5,495 shares of the information technology services provider’s stock valued at $46,000 after buying an additional 1,160 shares in the last quarter. Liontrust Investment Partners LLP lifted its stake in VNET Group by 40.1% during the 1st quarter. Liontrust Investment Partners LLP now owns 56,929 shares of the information technology services provider’s stock worth $478,000 after acquiring an additional 16,286 shares in the last quarter. Bank of America Corp DE boosted its holdings in VNET Group by 15.4% during the 1st quarter. Bank of America Corp DE now owns 642,612 shares of the information technology services provider’s stock valued at $5,392,000 after acquiring an additional 85,780 shares during the period. Janus Henderson Group PLC purchased a new position in VNET Group during the 1st quarter valued at about $1,809,000. Finally, Amundi grew its position in VNET Group by 30.1% in the 1st quarter. Amundi now owns 248,802 shares of the information technology services provider’s stock valued at $2,087,000 after acquiring an additional 57,616 shares in the last quarter. 72.83% of the stock is owned by institutional investors and hedge funds.

About VNET Group

VNET Group, Inc (NASDAQ: VNET) is a leading carrier-neutral internet data center (IDC) services provider in China. Established in 1999 and headquartered in Beijing, the company delivers a full spectrum of infrastructure solutions that support the growing digital economy. Its core offerings include data center colocation, managed hosting, network connectivity, and disaster recovery services designed to meet the performance and reliability requirements of enterprise and internet content customers.

The company’s product portfolio spans private cloud, public cloud and hybrid cloud deployments, enabling clients to scale computing resources on demand.