Daqo New Energy (NYSE:DQ) Receives Hold Rating from Daiwa Capital Markets

Daqo New Energy (NYSE:DQ)‘s stock had its “hold” rating reiterated by Daiwa Capital Markets in a report released on Wednesday, Benzinga reports. They presently have a $25.00 target price on the semiconductor company’s stock, up from their prior target price of $18.00. Daiwa Capital Markets’ target price would indicate a potential upside of 16.33% from the company’s current price.

DQ has been the subject of several other research reports. The Goldman Sachs Group began coverage on shares of Daqo New Energy in a research report on Thursday, July 11th. They issued a “buy” rating for the company. Roth Mkm lowered their price objective on shares of Daqo New Energy from $23.00 to $15.00 and set a “neutral” rating on the stock in a research note on Wednesday, August 28th. Hsbc Global Res raised shares of Daqo New Energy from a “hold” rating to a “strong-buy” rating in a research note on Wednesday, October 2nd. HSBC upgraded shares of Daqo New Energy from a “hold” rating to a “buy” rating in a report on Wednesday, October 2nd. Finally, Nomura Securities upgraded shares of Daqo New Energy to a “strong-buy” rating in a report on Wednesday, August 28th. One equities research analyst has rated the stock with a sell rating, two have issued a hold rating, three have given a buy rating and two have issued a strong buy rating to the company’s stock. According to data from MarketBeat, the stock has an average rating of “Moderate Buy” and an average price target of $22.26.

Daqo New Energy Stock Performance

Shares of NYSE:DQ traded up $0.55 during midday trading on Wednesday, hitting $21.49. The company’s stock had a trading volume of 968,637 shares, compared to its average volume of 1,069,500. The business’s 50 day simple moving average is $16.81 and its 200 day simple moving average is $19.02. The company has a market cap of $1.42 billion, a P/E ratio of 10.09 and a beta of 0.32. Daqo New Energy has a 12-month low of $13.62 and a 12-month high of $30.03.

Daqo New Energy (NYSE:DQ) last announced its quarterly earnings results on Monday, August 26th. The semiconductor company reported ($1.81) earnings per share for the quarter, missing analysts’ consensus estimates of ($0.56) by ($1.25). The company had revenue of $219.91 million for the quarter, compared to analyst estimates of $406.50 million. Daqo New Energy had a negative net margin of 4.11% and a negative return on equity of 1.04%. During the same quarter in the prior year, the business earned $1.34 earnings per share. On average, sell-side analysts predict that Daqo New Energy will post -3.35 earnings per share for the current fiscal year.

Daqo New Energy declared that its board has initiated a share repurchase program on Monday, July 22nd that permits the company to buyback $100.00 million in outstanding shares. This buyback authorization permits the semiconductor company to repurchase up to 8.6% of its shares through open market purchases. Shares buyback programs are usually an indication that the company’s leadership believes its shares are undervalued.

Hedge Funds Weigh In On Daqo New Energy

A number of institutional investors have recently bought and sold shares of the stock. Point72 Asset Management L.P. bought a new stake in shares of Daqo New Energy in the 2nd quarter valued at approximately $11,080,000. Sylebra Capital LLC boosted its holdings in Daqo New Energy by 103.9% in the second quarter. Sylebra Capital LLC now owns 943,692 shares of the semiconductor company’s stock valued at $13,778,000 after acquiring an additional 480,980 shares during the last quarter. BNP Paribas Financial Markets boosted its holdings in Daqo New Energy by 142.1% during the first quarter. BNP Paribas Financial Markets now owns 696,865 shares of the semiconductor company’s stock worth $19,617,000 after buying an additional 409,057 shares during the last quarter. Jupiter Asset Management Ltd. acquired a new stake in shares of Daqo New Energy during the first quarter worth about $9,647,000. Finally, Ariose Capital Management Ltd raised its position in shares of Daqo New Energy by 23.9% during the second quarter. Ariose Capital Management Ltd now owns 1,181,124 shares of the semiconductor company’s stock worth $17,244,000 after purchasing an additional 228,200 shares during the period. Hedge funds and other institutional investors own 47.22% of the company’s stock.

About Daqo New Energy

Daqo New Energy Corp., together with its subsidiaries, manufactures and sells polysilicon to photovoltaic product manufacturers in the People's Republic of China. Its products are used in ingots, wafers, cells, and modules for solar power solutions. The company was formerly known as Mega Stand International Limited and changed its name to Daqo New Energy Corp.