Kingsoft Cloud (NASDAQ:KC) Shares Gap Down – Should You Sell?

Shares of Kingsoft Cloud Holdings Limited (NASDAQ:KC) gapped down before the market opened on Tuesday . The stock had previously closed at $4.80, but opened at $4.55. Kingsoft Cloud shares last traded at $4.40, with a volume of 581,273 shares.

Analyst Ratings Changes

Separately, Bank of America cut their price objective on Kingsoft Cloud from $3.80 to $3.20 and set a “neutral” rating for the company in a research report on Wednesday, August 21st. One investment analyst has rated the stock with a hold rating and four have given a buy rating to the company. According to MarketBeat.com, the stock has a consensus rating of “Moderate Buy” and a consensus target price of $4.10.

Kingsoft Cloud Stock Performance

The firm’s 50-day moving average is $2.96 and its two-hundred day moving average is $2.82. The company has a current ratio of 0.84, a quick ratio of 0.84 and a debt-to-equity ratio of 0.03. The stock has a market cap of $1.13 billion, a price-to-earnings ratio of -4.32 and a beta of 2.00.

Kingsoft Cloud (NASDAQ:KC) last issued its quarterly earnings results on Tuesday, August 20th. The company reported ($0.20) earnings per share (EPS) for the quarter, missing analysts’ consensus estimates of ($0.16) by ($0.04). Kingsoft Cloud had a negative return on equity of 24.99% and a negative net margin of 25.33%. The firm had revenue of $260.32 million during the quarter, compared to analyst estimates of $251.17 million. As a group, sell-side analysts expect that Kingsoft Cloud Holdings Limited will post -0.69 earnings per share for the current year.

Institutional Trading of Kingsoft Cloud

Large investors have recently bought and sold shares of the business. Renaissance Technologies LLC grew its holdings in Kingsoft Cloud by 4.0% in the 2nd quarter. Renaissance Technologies LLC now owns 460,400 shares of the company’s stock valued at $1,156,000 after buying an additional 17,700 shares in the last quarter. Swedbank AB raised its stake in Kingsoft Cloud by 5.5% during the second quarter. Swedbank AB now owns 225,140 shares of the company’s stock worth $565,000 after purchasing an additional 11,800 shares during the period. GSA Capital Partners LLP grew its stake in shares of Kingsoft Cloud by 90.2% in the 3rd quarter. GSA Capital Partners LLP now owns 172,415 shares of the company’s stock valued at $507,000 after buying an additional 81,751 shares during the period. Sei Investments Co. raised its position in shares of Kingsoft Cloud by 33.6% during the 1st quarter. Sei Investments Co. now owns 139,988 shares of the company’s stock valued at $426,000 after buying an additional 35,175 shares during the period. Finally, Connor Clark & Lunn Investment Management Ltd. acquired a new position in Kingsoft Cloud in the third quarter valued at approximately $326,000. Hedge funds and other institutional investors own 13.40% of the company’s stock.

Kingsoft Cloud Company Profile

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.