GigaCloud Technology (NASDAQ:GCT) Hits New 12-Month Low After Earnings Miss

GigaCloud Technology Inc. (NASDAQ:GCT) shares hit a new 52-week low during mid-day trading on Tuesday after the company announced weaker than expected quarterly earnings. The stock traded as low as $13.60 and last traded at $15.54, with a volume of 855087 shares traded. The stock had previously closed at $16.01.

The company reported $0.76 EPS for the quarter, missing analysts’ consensus estimates of $0.90 by ($0.14). The company had revenue of $295.78 million during the quarter, compared to analyst estimates of $290.00 million. GigaCloud Technology had a return on equity of 40.32% and a net margin of 11.75%. During the same period in the prior year, the firm earned $0.87 earnings per share.

Wall Street Analyst Weigh In

A number of brokerages recently weighed in on GCT. Roth Mkm downgraded shares of GigaCloud Technology from a “buy” rating to a “neutral” rating and lowered their target price for the stock from $32.00 to $15.00 in a research note on Tuesday. Lake Street Capital lowered their price objective on GigaCloud Technology from $50.00 to $26.00 and set a “buy” rating for the company in a research report on Tuesday.

Insider Transactions at GigaCloud Technology

In other news, insider Marshall Bernes bought 5,000 shares of GigaCloud Technology stock in a transaction dated Friday, December 27th. The stock was bought at an average cost of $17.50 per share, for a total transaction of $87,500.00. Following the purchase, the insider now directly owns 45,000 shares in the company, valued at approximately $787,500. This represents a 12.50 % increase in their position. The purchase was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through the SEC website. Also, CTO Xin Wan sold 80,000 shares of the business’s stock in a transaction dated Friday, December 6th. The shares were sold at an average price of $22.14, for a total value of $1,771,200.00. Following the completion of the sale, the chief technology officer now directly owns 867,540 shares of the company’s stock, valued at $19,207,335.60. The trade was a 8.44 % decrease in their ownership of the stock. The disclosure for this sale can be found here. Insiders sold a total of 2,811,979 shares of company stock valued at $61,233,745 in the last quarter. 43.00% of the stock is currently owned by company insiders.

Hedge Funds Weigh In On GigaCloud Technology

A number of institutional investors have recently modified their holdings of the company. Geode Capital Management LLC increased its stake in GigaCloud Technology by 90.7% during the 3rd quarter. Geode Capital Management LLC now owns 577,108 shares of the company’s stock valued at $13,265,000 after purchasing an additional 274,506 shares in the last quarter. State Street Corp increased its position in shares of GigaCloud Technology by 31.7% during the third quarter. State Street Corp now owns 502,445 shares of the company’s stock worth $11,546,000 after acquiring an additional 121,037 shares in the last quarter. Franklin Resources Inc. increased its position in shares of GigaCloud Technology by 49.5% during the third quarter. Franklin Resources Inc. now owns 409,829 shares of the company’s stock worth $10,164,000 after acquiring an additional 135,726 shares in the last quarter. Nuveen Asset Management LLC raised its holdings in shares of GigaCloud Technology by 37.1% in the 4th quarter. Nuveen Asset Management LLC now owns 409,787 shares of the company’s stock worth $7,589,000 after acquiring an additional 110,804 shares during the last quarter. Finally, Bridgeway Capital Management LLC lifted its position in GigaCloud Technology by 2.6% in the 4th quarter. Bridgeway Capital Management LLC now owns 373,599 shares of the company’s stock valued at $6,919,000 after acquiring an additional 9,409 shares in the last quarter. 34.94% of the stock is owned by institutional investors and hedge funds.

GigaCloud Technology Stock Performance

The business has a 50 day simple moving average of $19.47 and a 200-day simple moving average of $21.27. The firm has a market cap of $636.30 million, a price-to-earnings ratio of 4.91 and a beta of 1.94.

GigaCloud Technology Company Profile

GigaCloud Technology Inc provides end-to-end B2B ecommerce solutions for large parcel merchandise in the United States and internationally. The company offers GigaCloud Marketplace integrates product discovery to payments to logistics tools into one easy-to-use platform. Its marketplace connects manufacturers primarily in Asia with resellers in the United States, Asia, and Europe to execute cross-border transactions across furniture, home appliance, fitness equipment, and other large parcel categories.