VNET Group (NASDAQ:VNET) Shares Gap Down – What’s Next?

VNET Group, Inc. (NASDAQ:VNET)’s share price gapped down prior to trading on Monday . The stock had previously closed at $3.64, but opened at $3.56. VNET Group shares last traded at $3.59, with a volume of 115,720 shares trading hands.

Wall Street Analysts Forecast Growth

Several brokerages recently commented on VNET. StockNews.com raised VNET Group from a “sell” rating to a “hold” rating in a report on Wednesday, August 21st. HSBC raised VNET Group from a “hold” rating to a “buy” rating and set a $5.20 target price for the company in a report on Wednesday, October 9th. Citigroup initiated coverage on VNET Group in a research note on Wednesday, September 4th. They issued a “buy” rating and a $4.00 price target on the stock. Finally, Hsbc Global Res raised shares of VNET Group to a “strong-buy” rating in a research note on Wednesday, October 9th. One investment analyst has rated the stock with a hold rating, three have issued a buy rating and one has issued a strong buy rating to the company’s stock. Based on data from MarketBeat.com, the stock presently has a consensus rating of “Buy” and an average target price of $3.97.

VNET Group Stock Down 3.8 %

The company has a current ratio of 0.87, a quick ratio of 0.87 and a debt-to-equity ratio of 1.47. The business’s fifty day moving average price is $3.02 and its two-hundred day moving average price is $2.34. The firm has a market cap of $900.90 million, a P/E ratio of -1.56, a P/E/G ratio of 7.54 and a beta of -0.30.

VNET Group (NASDAQ:VNET) last posted its earnings results on Tuesday, August 27th. The information technology services provider reported $0.06 earnings per share for the quarter, beating the consensus estimate of $0.01 by $0.05. VNET Group had a negative return on equity of 11.44% and a negative net margin of 34.62%. The company had revenue of $274.35 million for the quarter, compared to analyst estimates of $266.56 million. As a group, equities research analysts anticipate that VNET Group, Inc. will post 0.02 EPS for the current year.

Hedge Funds Weigh In On VNET Group

Institutional investors have recently modified their holdings of the company. Blue Trust Inc. raised its holdings in VNET Group by 785.4% in the 3rd quarter. Blue Trust Inc. now owns 42,074 shares of the information technology services provider’s stock worth $172,000 after acquiring an additional 37,322 shares during the period. Creative Planning increased its stake in shares of VNET Group by 124.1% in the third quarter. Creative Planning now owns 117,139 shares of the information technology services provider’s stock worth $478,000 after purchasing an additional 64,866 shares during the period. Inspire Investing LLC acquired a new position in shares of VNET Group during the 3rd quarter worth about $1,092,000. SG Americas Securities LLC bought a new stake in VNET Group during the 3rd quarter valued at approximately $262,000. Finally, Millennium Management LLC grew its holdings in VNET Group by 89.1% in the 2nd quarter. Millennium Management LLC now owns 2,973,358 shares of the information technology services provider’s stock valued at $6,229,000 after buying an additional 1,400,683 shares during the last quarter. Institutional investors own 72.83% of the company’s stock.

About VNET Group

VNET Group, Inc, an investment holding company, provides hosting and related services in China. It offers managed hosting services consisting of managed retail services, such as colocation services that dedicate data center space to house customers' servers and networking equipment, as well as allow customers to lease partial or entire cabinets for their servers; interconnectivity services that allow customers to connect their servers; value-added services, including hybrid IT, bare metal, firewall, server load balancing, data backup and recovery, data center management, server management, and backup server services; cloud services that allow customers to run applications over the internet using IT infrastructure; and VPN Services that extend customers' private networks by setting up connections through the public internet.