DAQO New Energy (NYSE:DQ) Trading Down 6.2% – Should You Sell?

DAQO New Energy Corp. (NYSE:DQ) fell 6.2% on Monday . The company traded as low as $12.83 and last traded at $12.83. 913,010 shares traded hands during trading, an increase of 7% from the average daily volume of 855,393 shares. The stock had previously closed at $13.68.

Wall Street Analysts Forecast Growth

DQ has been the topic of several recent analyst reports. New Street Research set a $10.00 target price on shares of DAQO New Energy in a report on Monday, August 24th. The Goldman Sachs Group lowered DAQO New Energy from a “neutral” rating to a “sell” rating and set a $10.00 price target for the company. in a research report on Monday, August 24th. JPMorgan Chase & Co. cut their price objective on DAQO New Energy from $35.50 to $22.00 and set an “overweight” rating on the stock in a research report on Friday, July 31st. Zacks Research downgraded DAQO New Energy from a “hold” rating to a “strong sell” rating in a report on Friday, August 7th. Finally, Weiss Ratings lowered DAQO New Energy from a “sell (d-)” rating to a “sell (e+)” rating in a research note on Friday. Two equities research analysts have rated the stock with a Buy rating, one has assigned a Hold rating and four have assigned a Sell rating to the company’s stock. According to MarketBeat, DAQO New Energy presently has an average rating of “Reduce” and a consensus price target of $19.36.

DAQO New Energy Stock Up 1.1%

The business’s fifty day moving average is $13.04 and its 200-day moving average is $17.67. The company has a market cap of $881.74 million, a PE ratio of -4.59 and a beta of 0.67.

DAQO New Energy (NYSE:DQ) last issued its earnings results on Thursday, August 20th. The semiconductor company reported ($1.20) earnings per share for the quarter, missing analysts’ consensus estimates of ($0.57) by ($0.63). DAQO New Energy had a negative return on equity of 3.26% and a negative net margin of 34.50%.The company had revenue of $62.66 million for the quarter, compared to the consensus estimate of $52.93 million. Analysts forecast that DAQO New Energy Corp. will post -1.96 EPS for the current fiscal year.

Institutional Inflows and Outflows

Hedge funds and other institutional investors have recently added to or reduced their stakes in the business. Quarry LP bought a new stake in DAQO New Energy during the third quarter valued at about $26,000. Nykredit A S purchased a new stake in shares of DAQO New Energy during the second quarter valued at about $28,000. Headlands Technologies LLC bought a new stake in shares of DAQO New Energy in the 2nd quarter valued at about $29,000. Farther Finance Advisors LLC grew its position in shares of DAQO New Energy by 1,650.0% in the 4th quarter. Farther Finance Advisors LLC now owns 1,330 shares of the semiconductor company’s stock worth $39,000 after buying an additional 1,254 shares during the last quarter. Finally, Caitong International Asset Management Co. Ltd bought a new position in shares of DAQO New Energy during the 4th quarter worth approximately $49,000. 47.22% of the stock is currently owned by institutional investors.

About DAQO New Energy

DAQO New Energy Corp. operates as a leading manufacturer of high-purity polysilicon and monocrystalline silicon wafers for the global solar photovoltaic industry. The company focuses on serving module makers and integrated solar producers with critical upstream materials, applying proprietary technologies and optimized processes to achieve high product purity and consistently low production costs. Its core offerings include solar-grade polysilicon—used in the ingot casting and wafer slicing stages—and premium mono-silicon wafers, which are a key input for high-efficiency solar cell production.

Founded in the late 2000s and listed on the New York Stock Exchange in 2010, DAQO New Energy established its first polysilicon facility in China’s Xinjiang Uygur Autonomous Region.