GDS (NASDAQ:GDS) Issues Quarterly Earnings Results, Beats Estimates By $0.51 EPS

GDS (NASDAQ:GDS) released its earnings results on Wednesday. The company reported $0.45 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of ($0.06) by $0.51, Zacks reports. GDS had a net margin of 40.83% and a return on equity of 1.40%. The company had revenue of $405.28 million for the quarter, compared to the consensus estimate of $402.81 million. During the same period in the prior year, the company posted ($0.14) EPS. The company’s revenue was up 10.2% compared to the same quarter last year. GDS updated its FY 2025 guidance to EPS.

GDS Stock Up 4.9%

Shares of GDS stock traded up $1.47 during trading on Thursday, reaching $31.22. The company’s stock had a trading volume of 528,544 shares, compared to its average volume of 2,694,368. GDS has a one year low of $16.92 and a one year high of $52.50. The business has a fifty day moving average price of $35.86 and a 200-day moving average price of $32.80. The company has a market cap of $5.95 billion, a price-to-earnings ratio of 9.22 and a beta of 0.37. The company has a quick ratio of 2.00, a current ratio of 2.00 and a debt-to-equity ratio of 1.71.

Analyst Ratings Changes

A number of research analysts have recently weighed in on the company. Weiss Ratings reissued a “hold (c-)” rating on shares of GDS in a research note on Wednesday, October 8th. Bank of America raised their target price on GDS from $47.60 to $50.60 and gave the stock a “buy” rating in a report on Friday, August 22nd. JMP Securities upped their price target on GDS from $40.00 to $50.00 and gave the company a “market outperform” rating in a research note on Thursday, August 21st. Zacks Research lowered shares of GDS from a “strong-buy” rating to a “hold” rating in a research note on Tuesday, August 26th. Finally, Macquarie set a $46.70 price objective on shares of GDS in a report on Thursday, November 6th. Two equities research analysts have rated the stock with a Strong Buy rating, seven have given a Buy rating and four have given a Hold rating to the company’s stock. According to data from MarketBeat.com, the company currently has a consensus rating of “Moderate Buy” and a consensus price target of $46.90.

Hedge Funds Weigh In On GDS

A number of institutional investors have recently bought and sold shares of GDS. Headlands Technologies LLC raised its holdings in shares of GDS by 218.2% during the 2nd quarter. Headlands Technologies LLC now owns 46,386 shares of the company’s stock worth $1,418,000 after buying an additional 31,810 shares in the last quarter. BROOKFIELD Corp ON bought a new position in GDS in the second quarter valued at about $157,000. Boothbay Fund Management LLC acquired a new position in GDS during the second quarter worth about $846,000. Bank of America Corp DE lifted its holdings in shares of GDS by 35.4% in the second quarter. Bank of America Corp DE now owns 230,573 shares of the company’s stock worth $7,049,000 after acquiring an additional 60,332 shares during the last quarter. Finally, Lighthouse Investment Partners LLC bought a new position in shares of GDS in the second quarter worth about $3,821,000. Institutional investors and hedge funds own 33.71% of the company’s stock.

About GDS

GDS Holdings Limited, together with its subsidiaries, develops and operates data centers in the People's Republic of China. The company provides colocation services comprising critical facilities space, customer-available power, racks, and cooling; managed hosting services, including business continuity and disaster recovery, network management, data storage, system security, operating system, database, and server middleware services; managed cloud services; and consulting services.