VNET Group (NASDAQ:VNET) Shares Down 4.7% – Should You Sell?

VNET Group, Inc. – Unsponsored ADR (NASDAQ:VNET) traded down 4.7% on Tuesday . The company traded as low as $8.80 and last traded at $8.7670. 1,174,116 shares traded hands during trading, a decline of 82% from the average session volume of 6,449,670 shares. The stock had previously closed at $9.20.

Wall Street Analysts Forecast Growth

Several brokerages have recently issued reports on VNET. Weiss Ratings reiterated a “sell (d-)” rating on shares of VNET Group in a research report on Friday, March 27th. Jefferies Financial Group reiterated a “buy” rating and issued a $23.55 target price on shares of VNET Group in a research report on Monday, March 16th. Finally, Bank of America reiterated a “buy” rating on shares of VNET Group in a research report on Monday, March 16th. Two analysts have rated the stock with a Buy rating and one has assigned a Sell rating to the stock. According to MarketBeat.com, the company currently has a consensus rating of “Hold” and a consensus price target of $18.08.

VNET Group Trading Down 5.2%

The company has a 50 day simple moving average of $10.11 and a 200 day simple moving average of $9.77. The company has a debt-to-equity ratio of 2.68, a quick ratio of 0.92 and a current ratio of 0.92. The company has a market capitalization of $2.35 billion, a PE ratio of -30.09 and a beta of 0.16.

VNET Group (NASDAQ:VNET) last released its earnings results on Monday, March 16th. The information technology services provider reported $0.00 earnings per share (EPS) for the quarter, missing analysts’ consensus estimates of $0.04 by ($0.04). VNET Group had a positive return on equity of 1.36% and a negative net margin of 2.48%.The business had revenue of $384.07 million for the quarter, compared to analysts’ expectations of $368.64 million. Analysts anticipate that VNET Group, Inc. – Unsponsored ADR will post 0.23 earnings per share for the current year.

Insider Activity

In other news, Director David Lifeng Chen sold 83,544 shares of the company’s stock in a transaction on Monday, March 23rd. The shares were sold at an average price of $1.51, for a total transaction of $126,151.44. Following the completion of the sale, the director owned 334,164 shares of the company’s stock, valued at $504,587.64. This represents a 20.00% decrease in their ownership of the stock. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is available through this hyperlink. 12.10% of the stock is owned by insiders.

Institutional Investors Weigh In On VNET Group

Large investors have recently made changes to their positions in the stock. Global Retirement Partners LLC purchased a new stake in shares of VNET Group in the fourth quarter valued at approximately $27,000. EverSource Wealth Advisors LLC grew its position in shares of VNET Group by 52.2% in the second quarter. EverSource Wealth Advisors LLC now owns 4,157 shares of the information technology services provider’s stock valued at $29,000 after purchasing an additional 1,426 shares in the last quarter. Allianz SE purchased a new stake in shares of VNET Group in the fourth quarter valued at approximately $50,000. Headlands Technologies LLC purchased a new stake in shares of VNET Group in the second quarter valued at approximately $55,000. Finally, Persistent Asset Partners Ltd purchased a new stake in shares of VNET Group in the third quarter valued at approximately $100,000. 72.83% of the stock is currently owned by hedge funds and other institutional investors.

About VNET Group

VNET Group, Inc (NASDAQ: VNET) is a leading carrier-neutral internet data center (IDC) services provider in China. Established in 1999 and headquartered in Beijing, the company delivers a full spectrum of infrastructure solutions that support the growing digital economy. Its core offerings include data center colocation, managed hosting, network connectivity, and disaster recovery services designed to meet the performance and reliability requirements of enterprise and internet content customers.

The company’s product portfolio spans private cloud, public cloud and hybrid cloud deployments, enabling clients to scale computing resources on demand.