VNET Group (NASDAQ:VNET) Stock Price Down 5.5% - Here's Why

VNET Group, Inc. (NASDAQ:VNET - Get Free Report) dropped 5.5% during mid-day trading on Tuesday . The company traded as low as $10.76 and last traded at $10.75. Approximately 2,247,799 shares changed hands during mid-day trading, a decline of 27% from the average daily volume of 3,059,325 shares. The stock had previously closed at $11.38.

Analysts Set New Price Targets

VNET has been the subject of a number of recent research reports. Nomura Securities raised shares of VNET Group to a "strong-buy" rating in a report on Friday, February 21st. UBS Group upped their price target on shares of VNET Group from $6.40 to $7.00 and gave the stock a "buy" rating in a report on Friday, November 29th. StockNews.com downgraded shares of VNET Group from a "hold" rating to a "sell" rating in a report on Friday, March 14th. The Goldman Sachs Group raised shares of VNET Group from a "neutral" rating to a "buy" rating and upped their price target for the stock from $3.10 to $5.00 in a report on Friday, November 29th. Finally, Citigroup upped their price target on shares of VNET Group from $16.10 to $20.00 and gave the stock a "buy" rating in a report on Friday, March 14th. One investment analyst has rated the stock with a sell rating, four have assigned a buy rating and two have given a strong buy rating to the company's stock. According to MarketBeat, the stock has a consensus rating of "Buy" and an average price target of $9.30.

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VNET Group Stock Performance

The stock's 50-day moving average is $9.67 and its 200-day moving average is $5.86. The firm has a market capitalization of $2.24 billion, a price-to-earnings ratio of -3.92, a PEG ratio of 1.01 and a beta of 0.07. The company has a current ratio of 0.83, a quick ratio of 0.83 and a debt-to-equity ratio of 1.46.

VNET Group (NASDAQ:VNET - Get Free Report) last posted its quarterly earnings data on Wednesday, March 12th. The information technology services provider reported ($0.01) earnings per share for the quarter, missing the consensus estimate of $0.03 by ($0.04). VNET Group had a negative return on equity of 5.68% and a negative net margin of 28.54%. The firm had revenue of $307.75 million for the quarter, compared to analyst estimates of $284.88 million. On average, analysts predict that VNET Group, Inc. will post -0.06 EPS for the current fiscal year.

Institutional Inflows and Outflows

Institutional investors and hedge funds have recently bought and sold shares of the stock. Barclays PLC boosted its stake in VNET Group by 229.3% during the fourth quarter. Barclays PLC now owns 7,093 shares of the information technology services provider's stock worth $34,000 after acquiring an additional 4,939 shares in the last quarter. Point72 Asia Singapore Pte. Ltd. bought a new position in VNET Group during the fourth quarter worth $41,000. Catalina Capital Group LLC bought a new position in VNET Group during the fourth quarter worth $54,000. Wolverine Trading LLC bought a new position in VNET Group during the third quarter worth $46,000. Finally, Hsbc Holdings PLC bought a new position in VNET Group during the fourth quarter worth $66,000. 72.83% of the stock is owned by institutional investors.

About VNET Group

VNET Group, Inc, an investment holding company, provides hosting and related services in China. It offers managed hosting services consisting of managed retail services, such as colocation services that dedicate data center space to house customers' servers and networking equipment, as well as allow customers to lease partial or entire cabinets for their servers; interconnectivity services that allow customers to connect their servers; value-added services, including hybrid IT, bare metal, firewall, server load balancing, data backup and recovery, data center management, server management, and backup server services; cloud services that allow customers to run applications over the internet using IT infrastructure; and VPN Services that extend customers' private networks by setting up connections through the public internet.