VNET Group (NASDAQ:VNET) Shares Down 8.1% – Should You Sell?

VNET Group, Inc. (NASDAQ:VNET)’s share price fell 8.1% during trading on Friday . The stock traded as low as $3.52 and last traded at $3.53. 184,028 shares traded hands during mid-day trading, a decline of 88% from the average session volume of 1,519,208 shares. The stock had previously closed at $3.84.

Wall Street Analyst Weigh In

Several analysts have weighed in on VNET shares. StockNews.com raised shares of VNET Group from a “sell” rating to a “hold” rating in a research report on Wednesday, August 21st. HSBC raised shares of VNET Group from a “hold” rating to a “buy” rating and set a $5.20 price objective on the stock in a report on Wednesday, October 9th. Hsbc Global Res upgraded VNET Group to a “strong-buy” rating in a research note on Wednesday, October 9th. Finally, Citigroup began coverage on VNET Group in a research note on Wednesday, September 4th. They set a “buy” rating and a $4.00 price target on the stock. One equities research analyst has rated the stock with a hold rating, three have given a buy rating and one has given a strong buy rating to the company’s stock. According to MarketBeat, the company presently has a consensus rating of “Buy” and a consensus target price of $3.97.

VNET Group Trading Down 8.9 %

The stock has a market cap of $900.89 million, a PE ratio of -1.50, a PEG ratio of 6.82 and a beta of -0.27. The company’s fifty day moving average is $3.44 and its 200-day moving average is $2.51. The company has a debt-to-equity ratio of 1.47, a current ratio of 0.87 and a quick ratio of 0.87.

VNET Group (NASDAQ:VNET) last issued its quarterly earnings data on Tuesday, August 27th. The information technology services provider reported $0.06 earnings per share (EPS) for the quarter, beating the consensus estimate of $0.01 by $0.05. The business had revenue of $274.35 million during the quarter, compared to analysts’ expectations of $266.56 million. VNET Group had a negative return on equity of 11.44% and a negative net margin of 34.62%. On average, analysts predict that VNET Group, Inc. will post 0.02 earnings per share for the current fiscal year.

Institutional Trading of VNET Group

A number of hedge funds have recently added to or reduced their stakes in the company. Ballentine Partners LLC purchased a new stake in shares of VNET Group during the 2nd quarter worth about $36,000. AXA S.A. purchased a new position in VNET Group during the second quarter worth approximately $65,000. Headlands Technologies LLC grew its holdings in VNET Group by 1,199.7% in the first quarter. Headlands Technologies LLC now owns 42,305 shares of the information technology services provider’s stock valued at $66,000 after purchasing an additional 39,050 shares during the period. Blue Trust Inc. increased its position in shares of VNET Group by 785.4% in the third quarter. Blue Trust Inc. now owns 42,074 shares of the information technology services provider’s stock valued at $172,000 after buying an additional 37,322 shares in the last quarter. Finally, SG Americas Securities LLC acquired a new position in shares of VNET Group during the 3rd quarter worth approximately $262,000. 72.83% of the stock is owned by hedge funds and other 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.