PPDAI Group (NYSE:FINV) Shares Down 3.4% – Should You Sell?

PPDAI Group Inc. Sponsored ADR (NYSE:FINV) shares dropped 3.4% on Tuesday. The stock traded as low as $2.98 and last traded at $2.9650. Approximately 813,082 shares were traded during trading, a decline of 20% from the average daily volume of 1,013,175 shares. The stock had previously closed at $3.07.

Wall Street Analysts Forecast Growth

Several brokerages have issued reports on FINV. Weiss Ratings downgraded shares of PPDAI Group from a “hold (c-)” rating to a “sell (d+)” rating in a research note on Friday, October 2nd. Citigroup reissued a “neutral” rating and issued a $4.10 price objective (down from $8.10) on shares of PPDAI Group in a report on Friday, August 28th. One equities research analyst has rated the stock with a Hold rating and one has issued a Sell rating to the company’s stock. Based on data from MarketBeat, PPDAI Group currently has an average rating of “Reduce” and an average target price of $4.10.

PPDAI Group Stock Performance

The company has a current ratio of 2.84, a quick ratio of 2.84 and a debt-to-equity ratio of 0.07. The firm’s fifty day moving average price is $3.51 and its 200 day moving average price is $4.40. The stock has a market capitalization of $692.16 million, a price-to-earnings ratio of 2.68 and a beta of 0.33.

PPDAI Group (NYSE:FINV) last released its quarterly earnings data on Friday, August 14th. The company reported $0.28 earnings per share (EPS) for the quarter. PPDAI Group had a net margin of 14.49% and a return on equity of 12.31%. The business had revenue of $500.91 million during the quarter.

Institutional Inflows and Outflows

A hedge fund recently bought a new position in PPDAI Group stock. Squarepoint Ops LLC bought a new stake in shares of PPDAI Group Inc. Sponsored ADR (NYSE:FINV) in the 2nd quarter, according to its most recent 13F filing with the Securities & Exchange Commission. The firm bought 24,880 shares of the company’s stock, valued at approximately $119,000. 31.15% of the stock is currently owned by institutional investors.

About PPDAI Group

PPDAI Group Inc, now known as FinVolution Group, is a Chinese fintech company that operates an online consumer finance platform. The company uses technology, data analytics and risk-management tools to connect individual borrowers with funding sources and facilitate unsecured consumer loans.

Its services generally include borrower acquisition, credit assessment, loan matching and facilitation, payment processing, and post-loan management. FinVolution serves consumers who may have limited access to traditional banking services and works with institutional funding partners and other financial institutions through its technology platform.

Founded in 2007, the company was originally known as PPDAI and later adopted the FinVolution name as part of its broader technology and international strategy.