NetEase (NASDAQ:NTES) Trading Down 6.8% - Should You Sell?

NetEase, Inc. (NASDAQ:NTES - Get Free Report)'s stock price fell 6.8% on Monday . The stock traded as low as $89.22 and last traded at $92.16. 989,070 shares traded hands during trading, a decline of 37% from the average session volume of 1,582,045 shares. The stock had previously closed at $98.86.

Analysts Set New Price Targets

Several research firms have commented on NTES. Benchmark raised their price objective on NetEase from $105.00 to $115.00 and gave the company a "buy" rating in a research report on Friday, February 21st. Barclays increased their target price on NetEase from $82.00 to $104.00 and gave the company an "equal weight" rating in a research note on Monday, February 24th. Bank of America boosted their price target on NetEase from $120.00 to $122.00 and gave the stock a "buy" rating in a research report on Wednesday, January 15th. Finally, Morgan Stanley increased their price objective on shares of NetEase from $108.00 to $117.00 and gave the company an "overweight" rating in a research report on Wednesday, February 12th. One analyst has rated the stock with a hold rating and seven have issued a buy rating to the company. According to MarketBeat.com, the stock has a consensus rating of "Moderate Buy" and a consensus price target of $114.57.

NetEase Stock Performance

The company has a market capitalization of $63.80 billion, a PE ratio of 15.60, a PEG ratio of 3.37 and a beta of 0.65. The company has a 50 day moving average price of $101.13 and a 200 day moving average price of $94.13.

NetEase (NASDAQ:NTES - Get Free Report) last posted its quarterly earnings results on Thursday, February 20th. The technology company reported $1.87 earnings per share (EPS) for the quarter, beating the consensus estimate of $1.73 by $0.14. The firm had revenue of $3.66 billion for the quarter, compared to analysts' expectations of $27.16 billion. NetEase had a net margin of 28.17% and a return on equity of 22.12%. On average, equities analysts forecast that NetEase, Inc. will post 6.91 earnings per share for the current fiscal year.

NetEase Dividend Announcement

The company also recently declared a quarterly dividend, which was paid on Thursday, March 20th. Investors of record on Thursday, March 6th were paid a $0.435 dividend. The ex-dividend date was Thursday, March 6th. This represents a $1.74 dividend on an annualized basis and a yield of 1.75%. NetEase's dividend payout ratio (DPR) is 76.45%.

Institutional Trading of NetEase

Several institutional investors and hedge funds have recently bought and sold shares of the company. Capital World Investors increased its holdings in shares of NetEase by 40.6% in the 4th quarter. Capital World Investors now owns 3,725,046 shares of the technology company's stock valued at $332,311,000 after acquiring an additional 1,074,818 shares during the last quarter. Greenwoods Asset Management Hong Kong Ltd. boosted its holdings in NetEase by 10.8% in the fourth quarter. Greenwoods Asset Management Hong Kong Ltd. now owns 3,632,870 shares of the technology company's stock worth $324,088,000 after purchasing an additional 354,273 shares during the period. Lazard Asset Management LLC increased its stake in NetEase by 2.0% during the fourth quarter. Lazard Asset Management LLC now owns 3,599,794 shares of the technology company's stock valued at $321,137,000 after purchasing an additional 69,789 shares during the last quarter. Dodge & Cox raised its holdings in shares of NetEase by 0.6% during the fourth quarter. Dodge & Cox now owns 2,649,876 shares of the technology company's stock worth $236,395,000 after purchasing an additional 15,900 shares during the period. Finally, Invesco Ltd. lifted its position in shares of NetEase by 88.0% in the 4th quarter. Invesco Ltd. now owns 2,365,464 shares of the technology company's stock worth $211,023,000 after buying an additional 1,107,363 shares during the last quarter. Institutional investors and hedge funds own 11.07% of the company's stock.

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.