Daqo New Energy (NYSE:DQ) Lifted to Hold at HSBC

Daqo New Energy (NYSE:DQ) was upgraded by analysts at HSBC from a “reduce” rating to a “hold” rating in a note issued to investors on Tuesday, MarketBeat Ratings reports. The firm currently has a $15.00 price objective on the semiconductor company’s stock. HSBC’s target price indicates a potential upside of 1.90% from the company’s previous close.

Several other equities analysts also recently issued reports on DQ. StockNews.com downgraded Daqo New Energy from a “hold” rating to a “sell” rating in a research report on Tuesday, August 13th. The Goldman Sachs Group initiated coverage on shares of Daqo New Energy in a research report on Thursday, July 11th. They set a “buy” rating on the stock. Roth Mkm restated a “neutral” rating and issued a $23.00 price objective on shares of Daqo New Energy in a research report on Tuesday, April 30th. Finally, Jefferies Financial Group reduced their target price on shares of Daqo New Energy from $38.40 to $34.05 and set a “buy” rating on the stock in a research report on Monday. Two investment analysts have rated the stock with a sell rating, two have assigned a hold rating and two have given a buy rating to the stock. According to MarketBeat.com, the company has an average rating of “Hold” and an average target price of $24.26.

Daqo New Energy Stock Performance

DQ opened at $14.72 on Tuesday. The firm has a market cap of $971.62 million, a price-to-earnings ratio of 6.91 and a beta of 0.28. The firm’s 50-day simple moving average is $16.27 and its 200-day simple moving average is $20.26. Daqo New Energy has a twelve month low of $13.62 and a twelve month high of $37.92.

Daqo New Energy (NYSE:DQ) last issued its quarterly earnings data on Monday, August 26th. The semiconductor company reported ($1.81) earnings per share for the quarter, missing the consensus estimate of ($0.56) by ($1.25). Daqo New Energy had a return on equity of 2.46% and a net margin of 7.84%. During the same quarter in the prior year, the firm earned $1.34 EPS. As a group, sell-side analysts anticipate that Daqo New Energy will post 0.46 EPS for the current fiscal year.

Daqo New Energy announced that its Board of Directors has authorized a stock buyback program on Monday, July 22nd that permits the company to buyback $100.00 million in shares. This buyback authorization permits the semiconductor company to repurchase up to 8.6% of its shares through open market purchases. Shares buyback programs are often a sign that the company’s management believes its stock is undervalued.

Institutional Inflows and Outflows

A number of large investors have recently added to or reduced their stakes in the business. Boston Partners bought a new position in shares of Daqo New Energy in the 4th quarter worth $2,016,000. BNP Paribas Financial Markets grew its position in shares of Daqo New Energy by 142.1% during the 1st quarter. BNP Paribas Financial Markets now owns 696,865 shares of the semiconductor company’s stock worth $19,617,000 after buying an additional 409,057 shares during the period. Quadrature Capital Ltd bought a new stake in shares of Daqo New Energy in the 4th quarter valued at about $471,000. Franchise Capital Ltd bought a new stake in shares of Daqo New Energy in the 4th quarter valued at about $4,788,000. Finally, CoreCommodity Management LLC acquired a new stake in shares of Daqo New Energy in the 4th quarter valued at approximately $2,291,000. 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.