Daqo New Energy (NYSE:DQ) Shares Gap Down – Should You Sell?

Daqo New Energy Corp. (NYSE:DQ)’s stock price gapped down prior to trading on Tuesday . The stock had previously closed at $19.44, but opened at $18.61. Daqo New Energy shares last traded at $18.62, with a volume of 109,194 shares traded.

Analysts Set New Price Targets

DQ has been the subject of several research reports. Jefferies Financial Group dropped their price target on shares of Daqo New Energy from $38.40 to $34.05 and set a “buy” rating for the company in a research note on Monday, August 26th. HSBC upgraded shares of Daqo New Energy from a “hold” rating to a “buy” rating in a research note on Wednesday, October 2nd. StockNews.com raised shares of Daqo New Energy to a “sell” rating in a research report on Monday, September 23rd. Daiwa America raised shares of Daqo New Energy from a “hold” rating to a “strong-buy” rating in a research report on Wednesday, October 30th. Finally, Roth Mkm decreased their price objective on shares of Daqo New Energy from $23.00 to $15.00 and set a “neutral” rating for the company in a research report on Wednesday, August 28th. One equities research analyst has rated the stock with a sell rating, one has issued a hold rating, four have issued a buy rating and three have issued a strong buy rating to the company’s stock. Based on data from MarketBeat.com, the stock currently has a consensus rating of “Buy” and an average target price of $22.26.

Daqo New Energy Stock Down 3.7 %

The stock has a market capitalization of $1.24 billion, a PE ratio of -10.51 and a beta of 0.28. The business’s 50-day moving average is $21.04 and its two-hundred day moving average is $18.46.

Daqo New Energy (NYSE:DQ) last announced its earnings results on Wednesday, October 30th. The semiconductor company reported ($0.92) EPS for the quarter, missing analysts’ consensus estimates of ($0.80) by ($0.12). Daqo New Energy had a negative net margin of 9.16% and a negative return on equity of 1.90%. The business had revenue of $198.50 million during the quarter, compared to analysts’ expectations of $186.90 million. During the same period in the previous year, the company posted ($0.09) earnings per share. As a group, analysts anticipate that Daqo New Energy Corp. will post -3.5 EPS for the current year.

Institutional Inflows and Outflows

A number of institutional investors and hedge funds have recently made changes to their positions in the company. Geode Capital Management LLC increased its stake in shares of Daqo New Energy by 9.2% during the third quarter. Geode Capital Management LLC now owns 33,546 shares of the semiconductor company’s stock worth $683,000 after acquiring an additional 2,813 shares during the period. Public Employees Retirement System of Ohio acquired a new position in shares of Daqo New Energy during the third quarter worth about $1,053,000. Wellington Management Group LLP increased its stake in shares of Daqo New Energy by 26.0% during the third quarter. Wellington Management Group LLP now owns 128,422 shares of the semiconductor company’s stock worth $2,616,000 after acquiring an additional 26,462 shares during the period. Wexford Capital LP increased its stake in shares of Daqo New Energy by 395.7% during the third quarter. Wexford Capital LP now owns 164,809 shares of the semiconductor company’s stock worth $3,357,000 after acquiring an additional 131,564 shares during the period. Finally, State Street Corp increased its stake in shares of Daqo New Energy by 1.1% during the third quarter. State Street Corp now owns 842,921 shares of the semiconductor company’s stock worth $17,170,000 after acquiring an additional 8,983 shares during the period. 47.22% of the stock is currently owned by institutional investors and hedge funds.

Daqo New Energy Company Profile

Daqo New Energy Corp., together with its subsidiaries, manufactures and sells polysilicon to photovoltaic product manufacturers in the People's Republic of China. Its products are used in ingots, wafers, cells, and modules for solar power solutions. The company was formerly known as Mega Stand International Limited and changed its name to Daqo New Energy Corp.