Luckin Coffee (OTCMKTS:LKNCY) Trading Down 5.1% – Should You Sell?

Luckin Coffee Inc. Sponsored ADR (OTCMKTS:LKNCY) fell 5.1% during mid-day trading on Thursday . The company traded as low as $35.02 and last traded at $35.02. Approximately 443,515 shares changed hands during mid-day trading, a decline of 70% from the average session volume of 1,486,367 shares. The stock had previously closed at $36.92.

Analyst Ratings Changes

LKNCY has been the topic of several research analyst reports. Zacks Research raised Luckin Coffee from a “hold” rating to a “strong-buy” rating in a research report on Monday, August 10th. Jefferies Financial Group began coverage on Luckin Coffee in a report on Tuesday, June 9th. They issued a “buy” rating and a $43.60 price objective for the company. Finally, The Goldman Sachs Group set a $49.00 target price on shares of Luckin Coffee and gave the stock a “buy” rating in a research report on Sunday, June 21st. Three research analysts have rated the stock with a Strong Buy rating and one has issued a Buy rating to the company’s stock. According to data from MarketBeat, Luckin Coffee presently has a consensus rating of “Strong Buy” and an average price target of $48.20.

Luckin Coffee Price Performance

The business’s 50 day simple moving average is $32.95 and its 200 day simple moving average is $33.35. The company has a market capitalization of $10.04 billion, a price-to-earnings ratio of 20.85 and a beta of -0.36.

Luckin Coffee Company Profile

Luckin Coffee Inc is a China-based coffeehouse chain that combines a digitally driven ordering platform with a network of physical outlets. The company’s mobile app and in-store kiosks enable customers to place orders for takeaway or delivery, while its proprietary supply chain supports rapid store expansion and consistent product quality. Luckin’s retail portfolio includes “grab-and-go” pickup points, delivery-only kitchens and full-service cafés designed to meet the varied needs of urban consumers.

Luckin’s menu features a broad range of espresso-based drinks, including lattes, Americanos and cold brews, complemented by tea-based beverages, fruit juices and a selection of light food items such as sandwiches and pastries.