Daqo New Energy (NYSE:DQ) Shares Gap Up to $16.33

Daqo New Energy Corp. (NYSE:DQ) shares gapped up prior to trading on Tuesday . The stock had previously closed at $16.33, but opened at $17.55. Daqo New Energy shares last traded at $17.50, with a volume of 145,466 shares trading hands.

Wall Street Analysts Forecast Growth

DQ has been the topic of a number of research analyst reports. StockNews.com raised shares of Daqo New Energy to a “sell” rating in a report on Monday. The Goldman Sachs Group started coverage on Daqo New Energy in a research note on Thursday, July 11th. They set a “buy” rating on the stock. HSBC raised Daqo New Energy from a “reduce” rating to a “hold” rating and set a $15.00 price objective for the company in a research note on Tuesday, August 27th. Nomura Securities upgraded Daqo New Energy to a “strong-buy” rating in a research report on Wednesday, August 28th. Finally, Hsbc Global Res upgraded Daqo New Energy from a “moderate sell” rating to a “hold” rating in a research report on Tuesday, August 27th. Two investment analysts have rated the stock with a sell rating, three have issued a hold rating, two have issued a buy rating and one has given a strong buy rating to the stock. Based on data from MarketBeat, the company currently has an average rating of “Hold” and a consensus target price of $22.26.

Daqo New Energy Stock Performance

The company has a 50-day moving average of $15.96 and a 200-day moving average of $19.54. The stock has a market capitalization of $1.17 billion, a price-to-earnings ratio of 8.25 and a beta of 0.30.

Daqo New Energy (NYSE:DQ) last released its quarterly earnings results on Monday, August 26th. The semiconductor company reported ($1.81) earnings per share for the quarter, missing analysts’ consensus estimates of ($0.56) by ($1.25). Daqo New Energy had a negative return on equity of 1.04% and a negative net margin of 4.11%. The company had revenue of $219.91 million during the quarter, compared to analyst estimates of $406.50 million. During the same period last year, the firm earned $1.34 earnings per share. As a group, analysts expect that Daqo New Energy Corp. will post -3.35 earnings per share for the current year.

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

Hedge Funds Weigh In On Daqo New Energy

Institutional investors have recently modified their holdings of the company. PNC Financial Services Group Inc. increased its stake in Daqo New Energy by 117.5% in the fourth quarter. PNC Financial Services Group Inc. now owns 1,588 shares of the semiconductor company’s stock valued at $42,000 after purchasing an additional 858 shares during the last quarter. Blue Trust Inc. boosted its stake in shares of Daqo New Energy by 12,187.5% in the second quarter. Blue Trust Inc. now owns 1,966 shares of the semiconductor company’s stock valued at $29,000 after purchasing an additional 1,950 shares during the period. Quadrant Capital Group LLC grew its holdings in Daqo New Energy by 39.4% during the 4th quarter. Quadrant Capital Group LLC now owns 2,348 shares of the semiconductor company’s stock valued at $62,000 after purchasing an additional 664 shares in the last quarter. AXA S.A. increased its stake in Daqo New Energy by 202.3% during the 2nd quarter. AXA S.A. now owns 6,387 shares of the semiconductor company’s stock worth $93,000 after buying an additional 4,274 shares during the period. Finally, Rhumbline Advisers lifted its holdings in Daqo New Energy by 22.2% in the 2nd quarter. Rhumbline Advisers now owns 8,104 shares of the semiconductor company’s stock worth $118,000 after buying an additional 1,470 shares in the last quarter. Institutional investors and hedge funds own 47.22% of the company’s stock.

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.