Kingsoft Cloud (NASDAQ:KC) Shares Down 8.3% – Time to Sell?

Kingsoft Cloud Holdings Limited (NASDAQ:KC)’s stock price traded down 8.3% during trading on Friday . The stock traded as low as $15.18 and last traded at $15.10. 2,150,031 shares changed hands during mid-day trading, a decline of 9% from the average session volume of 2,354,569 shares. The stock had previously closed at $16.48.

Wall Street Analyst Weigh In

Several research analysts have commented on the company. Nomura lowered Kingsoft Cloud from a “buy” rating to a “neutral” rating in a research report on Monday, March 3rd. UBS Group raised Kingsoft Cloud from a “neutral” rating to a “buy” rating and lifted their target price for the stock from $4.20 to $12.50 in a research report on Friday, December 6th. Finally, Nomura Securities lowered Kingsoft Cloud from a “strong-buy” rating to a “hold” rating in a research report on Monday, March 3rd. Three investment analysts have rated the stock with a hold rating and two have assigned a buy rating to the company’s stock. According to data from MarketBeat, Kingsoft Cloud presently has a consensus rating of “Hold” and an average price target of $6.55.

Kingsoft Cloud Stock Performance

The firm has a market capitalization of $3.91 billion, a PE ratio of -12.86 and a beta of 2.23. The company has a debt-to-equity ratio of 0.10, a current ratio of 0.67 and a quick ratio of 0.67. The stock has a 50-day moving average price of $15.49 and a 200-day moving average price of $8.98.

Kingsoft Cloud (NASDAQ:KC) last announced its earnings results on Wednesday, March 19th. The company reported ($0.05) earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of ($0.11) by $0.06. The business had revenue of $2.23 billion for the quarter, compared to analyst estimates of $2.11 billion. Kingsoft Cloud had a negative return on equity of 19.13% and a negative net margin of 28.41%. The company’s revenue for the quarter was up 29.6% compared to the same quarter last year. During the same period in the previous year, the company earned $0.08 earnings per share. On average, research analysts expect that Kingsoft Cloud Holdings Limited will post -0.63 EPS for the current fiscal year.

Institutional Trading of Kingsoft Cloud

Several hedge funds and other institutional investors have recently bought and sold shares of KC. D. E. Shaw & Co. Inc. bought a new stake in Kingsoft Cloud in the fourth quarter valued at about $21,076,000. Voloridge Investment Management LLC acquired a new position in Kingsoft Cloud in the fourth quarter valued at approximately $16,345,000. Millennium Management LLC boosted its stake in Kingsoft Cloud by 4,098.3% in the fourth quarter. Millennium Management LLC now owns 895,004 shares of the company’s stock valued at $9,389,000 after acquiring an additional 873,686 shares during the period. Connor Clark & Lunn Investment Management Ltd. boosted its stake in Kingsoft Cloud by 628.2% in the fourth quarter. Connor Clark & Lunn Investment Management Ltd. now owns 806,902 shares of the company’s stock valued at $8,464,000 after acquiring an additional 696,094 shares during the period. Finally, Two Sigma Investments LP acquired a new position in Kingsoft Cloud in the fourth quarter valued at approximately $6,378,000. 13.40% of the stock is owned by institutional investors.

About Kingsoft Cloud

Kingsoft Cloud Holdings Limited provides cloud services to businesses and organizations primarily in China. The company's products portfolio includes cloud products, including infrastructure as a service (IaaS) infrastructure, platform as a service (PaaS) middleware, and software as a service (SaaS) applications that primarily consist of cloud computing, network, database, big data, security, storage, and delivery solutions.