GigaCloud Technology (NASDAQ:GCT) Trading Down 6% – Here’s Why

Shares of GigaCloud Technology Inc. (NASDAQ:GCT) fell 6% on Tuesday . The company traded as low as $39.34 and last traded at $39.5250. 390,410 shares were traded during mid-day trading, a decline of 27% from the average session volume of 535,294 shares. The stock had previously closed at $42.04.

Wall Street Analyst Weigh In

A number of research firms have recently issued reports on GCT. Weiss Ratings raised shares of GigaCloud Technology from a “hold (c+)” rating to a “buy (b-)” rating in a report on Tuesday. Wall Street Zen upgraded shares of GigaCloud Technology from a “hold” rating to a “buy” rating in a research report on Saturday, December 13th. Finally, Zacks Research downgraded shares of GigaCloud Technology from a “strong-buy” rating to a “hold” rating in a report on Friday, January 16th. Two analysts have rated the stock with a Buy rating and two have issued a Hold rating to the stock. Based on data from MarketBeat.com, the company presently has a consensus rating of “Moderate Buy” and an average target price of $24.00.

GigaCloud Technology Trading Down 0.1%

The firm has a market cap of $1.51 billion, a price-to-earnings ratio of 12.18 and a beta of 2.28. The stock’s fifty day moving average price is $39.76 and its 200-day moving average price is $31.83.

GigaCloud Technology (NASDAQ:GCT) last issued its quarterly earnings data on Thursday, November 6th. The company reported $0.99 earnings per share for the quarter, topping the consensus estimate of $0.65 by $0.34. The company had revenue of $332.64 million during the quarter, compared to analyst estimates of $300.96 million. GigaCloud Technology had a return on equity of 30.43% and a net margin of 10.62%.The firm’s revenue for the quarter was up 9.7% compared to the same quarter last year. During the same period in the prior year, the business posted $1.15 earnings per share. Analysts predict that GigaCloud Technology Inc. will post 3.1 earnings per share for the current year.

Insider Activity

In other GigaCloud Technology news, CEO Lei Wu sold 20,000 shares of the company’s stock in a transaction dated Thursday, January 22nd. The shares were sold at an average price of $40.78, for a total value of $815,600.00. Following the transaction, the chief executive officer owned 678,090 shares of the company’s stock, valued at $27,652,510.20. This represents a 2.86% decrease in their ownership of the stock. The transaction was disclosed in a filing with the SEC, which is available through this link. Also, COO Xinyan Hao sold 800 shares of the stock in a transaction dated Friday, December 5th. The stock was sold at an average price of $40.04, for a total transaction of $32,032.00. Following the transaction, the chief operating officer directly owned 357,486 shares of the company’s stock, valued at approximately $14,313,739.44. This trade represents a 0.22% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. Over the last 90 days, insiders sold 451,229 shares of company stock worth $16,223,189. 24.71% of the stock is owned by insiders.

Institutional Trading of GigaCloud Technology

A number of institutional investors and hedge funds have recently added to or reduced their stakes in GCT. Ameritas Investment Partners Inc. boosted its position in shares of GigaCloud Technology by 17.6% during the second quarter. Ameritas Investment Partners Inc. now owns 2,705 shares of the company’s stock worth $54,000 after buying an additional 405 shares during the period. Tower Research Capital LLC TRC lifted its stake in GigaCloud Technology by 25.6% during the 2nd quarter. Tower Research Capital LLC TRC now owns 2,372 shares of the company’s stock worth $47,000 after acquiring an additional 483 shares in the last quarter. SG Americas Securities LLC boosted its holdings in GigaCloud Technology by 10.2% during the 4th quarter. SG Americas Securities LLC now owns 5,249 shares of the company’s stock valued at $206,000 after acquiring an additional 485 shares during the period. Stratos Wealth Partners LTD. grew its position in GigaCloud Technology by 5.6% in the 2nd quarter. Stratos Wealth Partners LTD. now owns 10,945 shares of the company’s stock valued at $217,000 after acquiring an additional 585 shares in the last quarter. Finally, Jones Financial Companies Lllp grew its position in GigaCloud Technology by 184.6% in the 3rd quarter. Jones Financial Companies Lllp now owns 908 shares of the company’s stock valued at $27,000 after acquiring an additional 589 shares in the last quarter. Hedge funds and other institutional investors own 34.94% of the company’s stock.

GigaCloud Technology Company Profile

GigaCloud Technology Inc (NASDAQ:GCT) is a China-based provider of software-as-a-service (SaaS) and cloud computing solutions tailored for cross-border e-commerce. The company’s core offering, its Supply Chain Embedded E-commerce as a Service (SCEaaS) platform, integrates procurement, order management, warehousing, logistics and payment services into a unified cloud-based system. This end-to-end digital supply chain solution is designed to help small and medium-sized Chinese exporters efficiently connect with global buyers without the need to build and maintain their own infrastructure.

Through its modular, subscription-based SaaS model, GigaCloud enables merchants to scale operations on demand and minimize upfront capital expenditures.