DAQO New Energy (NYSE:DQ) Trading Down 8.3% – Should You Sell?

DAQO New Energy Corp. (NYSE:DQ)’s stock price was down 8.3% on Tuesday . The company traded as low as $20.38 and last traded at $20.3360. Approximately 496,139 shares were traded during trading, a decline of 28% from the average daily volume of 688,206 shares. The stock had previously closed at $22.18.

Analyst Upgrades and Downgrades

A number of equities analysts have weighed in on DQ shares. Glj Research downgraded shares of DAQO New Energy from a “buy” rating to a “sell” rating and cut their price target for the stock from $30.51 to $18.13 in a research note on Tuesday, February 3rd. Weiss Ratings reaffirmed a “sell (d-)” rating on shares of DAQO New Energy in a research note on Friday, March 27th. Finally, New Street Research set a $18.13 price target on shares of DAQO New Energy in a research note on Tuesday, February 3rd. One equities research analyst has rated the stock with a Strong Buy rating, one has assigned a Buy rating, two have assigned a Hold rating and two have assigned a Sell rating to the company. Based on data from MarketBeat, the company currently has an average rating of “Hold” and an average price target of $25.43.

DAQO New Energy Trading Down 9.5%

The stock’s 50 day moving average price is $22.66 and its 200 day moving average price is $26.89. The firm has a market cap of $1.35 billion, a PE ratio of -7.91 and a beta of 0.80.

DAQO New Energy (NYSE:DQ) last issued its earnings results on Monday, March 2nd. The semiconductor company reported ($0.11) EPS for the quarter, missing analysts’ consensus estimates of ($0.04) by ($0.07). DAQO New Energy had a negative net margin of 25.62% and a negative return on equity of 2.92%. The business had revenue of $221.71 million during the quarter, compared to analysts’ expectations of $276.94 million. Analysts forecast that DAQO New Energy Corp. will post -0.38 earnings per share for the current year.

Hedge Funds Weigh In On DAQO New Energy

Hedge funds have recently made changes to their positions in the business. Quarry LP purchased a new position in shares of DAQO New Energy in the 3rd quarter valued at $26,000. Headlands Technologies LLC purchased a new position in shares of DAQO New Energy in the 2nd quarter valued at $29,000. Farther Finance Advisors LLC raised its stake in shares of DAQO New Energy by 1,650.0% in the 4th quarter. Farther Finance Advisors LLC now owns 1,330 shares of the semiconductor company’s stock valued at $39,000 after acquiring an additional 1,254 shares during the period. Caitong International Asset Management Co. Ltd acquired a new stake in DAQO New Energy during the 4th quarter valued at $49,000. Finally, Banque Cantonale Vaudoise acquired a new stake in DAQO New Energy during the 4th quarter valued at $55,000. Hedge funds and other institutional investors own 47.22% of the company’s stock.

About DAQO New Energy

DAQO New Energy Corp. operates as a leading manufacturer of high-purity polysilicon and monocrystalline silicon wafers for the global solar photovoltaic industry. The company focuses on serving module makers and integrated solar producers with critical upstream materials, applying proprietary technologies and optimized processes to achieve high product purity and consistently low production costs. Its core offerings include solar-grade polysilicon—used in the ingot casting and wafer slicing stages—and premium mono-silicon wafers, which are a key input for high-efficiency solar cell production.

Founded in the late 2000s and listed on the New York Stock Exchange in 2010, DAQO New Energy established its first polysilicon facility in China’s Xinjiang Uygur Autonomous Region.