NetEase (NASDAQ:NTES) Shares Gap Down - Here's What Happened

NetEase, Inc. (NASDAQ:NTES - Get Free Report) shares gapped down before the market opened on Monday . The stock had previously closed at $82.42, but opened at $80.45. NetEase shares last traded at $81.35, with a volume of 191,368 shares traded.

Analyst Ratings Changes

NTES has been the topic of several recent research reports. StockNews.com cut NetEase from a "strong-buy" rating to a "buy" rating in a research report on Saturday, July 20th. Jefferies Financial Group decreased their target price on shares of NetEase from $126.00 to $103.00 and set a "buy" rating for the company in a research report on Thursday, August 22nd. Barclays cut their price target on shares of NetEase from $104.00 to $82.00 and set an "equal weight" rating on the stock in a report on Monday, August 26th. Morgan Stanley reiterated an "equal weight" rating and set a $100.00 price objective on shares of NetEase in a report on Friday, July 5th. Finally, Bank of America dropped their target price on NetEase from $142.00 to $120.00 and set a "buy" rating on the stock in a research note on Friday, August 23rd. Two equities research analysts have rated the stock with a hold rating and five have assigned a buy rating to the stock. According to MarketBeat, the company has an average rating of "Moderate Buy" and an average price target of $112.67.

NetEase Stock Performance

The stock has a 50 day moving average of $85.26 and a 200-day moving average of $90.88. The company has a market cap of $52.20 billion, a PE ratio of 12.60, a price-to-earnings-growth ratio of 1.96 and a beta of 0.55.

NetEase (NASDAQ:NTES - Get Free Report) last issued its quarterly earnings results on Thursday, August 22nd. The technology company reported $12.05 earnings per share for the quarter, topping the consensus estimate of $1.62 by $10.43. NetEase had a net margin of 26.98% and a return on equity of 22.30%. The company had revenue of $25.49 billion for the quarter, compared to the consensus estimate of $26.01 billion. During the same quarter in the prior year, the company earned $1.75 EPS. NetEase's quarterly revenue was up 6.1% on a year-over-year basis. Equities research analysts forecast that NetEase, Inc. will post 6.05 EPS for the current year.

NetEase Cuts Dividend

The firm also recently announced a quarterly dividend, which was paid on Friday, September 20th. Investors of record on Friday, September 6th were given a dividend of $0.435 per share. The ex-dividend date of this dividend was Friday, September 6th. This represents a $1.74 dividend on an annualized basis and a yield of 2.14%. NetEase's dividend payout ratio is presently 26.82%.

Institutional Trading of NetEase

Several hedge funds and other institutional investors have recently bought and sold shares of the stock. Mather Group LLC. grew its position in shares of NetEase by 1,415.0% during the 2nd quarter. Mather Group LLC. now owns 303 shares of the technology company's stock valued at $31,000 after acquiring an additional 283 shares during the period. SYSTM Wealth Solutions LLC grew its holdings in NetEase by 55.5% in the second quarter. SYSTM Wealth Solutions LLC now owns 328 shares of the technology company's stock valued at $31,000 after purchasing an additional 117 shares during the period. Ariadne Wealth Management LP purchased a new stake in shares of NetEase in the second quarter valued at approximately $35,000. ORG Partners LLC acquired a new stake in NetEase in the 1st quarter valued at $50,000. Finally, Allspring Global Investments Holdings LLC purchased a new stake in NetEase in the 3rd quarter worth $76,000. 11.07% of the stock is owned by institutional investors and hedge funds.

NetEase Company Profile

NetEase, Inc engages in online games, music streaming, online intelligent learning services, and internet content services businesses in China and internationally . The company operates through Games and Related Value-Added Services, Youdao, Cloud Music, and Innovative Businesses and Others segments.