MINISO Group (NYSE:MNSO) Shares Gap Up – Should You Buy?

Shares of MINISO Group Holding Limited Unsponsored ADR (NYSE:MNSO) gapped up before the market opened on Wednesday . The stock had previously closed at $11.53, but opened at $12.41. MINISO Group shares last traded at $12.7240, with a volume of 195,155 shares trading hands.

Wall Street Analysts Forecast Growth

MNSO has been the subject of several recent analyst reports. Zacks Research downgraded shares of MINISO Group from a “hold” rating to a “strong sell” rating in a report on Monday, June 15th. Weiss Ratings downgraded MINISO Group from a “hold (c-)” rating to a “sell (d+)” rating in a research report on Thursday, June 25th. JPMorgan Chase & Co. dropped their price objective on MINISO Group from $26.00 to $16.00 and set an “overweight” rating for the company in a research note on Friday, May 29th. Finally, Wall Street Zen upgraded MINISO Group from a “hold” rating to a “buy” rating in a research report on Saturday, May 30th. Three analysts have rated the stock with a Buy rating, one has issued a Hold rating and two have assigned a Sell rating to the stock. Based on data from MarketBeat.com, MINISO Group has a consensus rating of “Hold” and a consensus price target of $21.73.

MINISO Group Price Performance

The firm’s fifty day moving average price is $12.84 and its 200 day moving average price is $16.01. The company has a quick ratio of 1.14, a current ratio of 1.53 and a debt-to-equity ratio of 0.76. The stock has a market cap of $3.93 billion, a PE ratio of 13.42, a P/E/G ratio of 1.42 and a beta of 0.10.

MINISO Group (NYSE:MNSO) last posted its earnings results on Friday, May 15th. The company reported $0.07 earnings per share for the quarter, missing the consensus estimate of $0.24 by ($0.17). The company had revenue of $825.04 million for the quarter, compared to analysts’ expectations of $805.60 million. MINISO Group had a net margin of 9.03% and a return on equity of 18.98%. As a group, equities analysts expect that MINISO Group Holding Limited Unsponsored ADR will post 1.12 EPS for the current fiscal year.

Insider Activity

In related news, CEO Guofu Ye acquired 1,950,000 shares of the company’s stock in a transaction on Friday, May 29th. The stock was acquired at an average price of $3.28 per share, with a total value of $6,396,000.00. Following the acquisition, the chief executive officer directly owned 315,590,482 shares of the company’s stock, valued at approximately $1,035,136,780.96. This trade represents a 0.62% increase in their ownership of the stock. The purchase was disclosed in a filing with the SEC, which is available through this link. Also, VP Yunyun (Alice) Yang acquired 1,950,000 shares of the business’s stock in a transaction dated Friday, May 29th. The shares were purchased at an average price of $3.28 per share, with a total value of $6,396,000.00. Following the transaction, the vice president owned 315,590,482 shares of the company’s stock, valued at approximately $1,035,136,780.96. This represents a 0.62% increase in their ownership of the stock. The SEC filing for this purchase provides additional information. Insiders have acquired a total of 4,200,000 shares of company stock valued at $13,797,000 in the last three months. Insiders own 73.50% of the company’s stock.

Hedge Funds Weigh In On MINISO Group

A number of hedge funds and other institutional investors have recently added to or reduced their stakes in MNSO. Caitong International Asset Management Co. Ltd bought a new stake in MINISO Group in the 3rd quarter worth approximately $25,000. Parallel Advisors LLC boosted its position in shares of MINISO Group by 794.7% during the 1st quarter. Parallel Advisors LLC now owns 2,192 shares of the company’s stock valued at $36,000 after acquiring an additional 1,947 shares during the last quarter. EverSource Wealth Advisors LLC grew its holdings in shares of MINISO Group by 37.6% in the second quarter. EverSource Wealth Advisors LLC now owns 2,223 shares of the company’s stock valued at $41,000 after purchasing an additional 608 shares in the last quarter. PNC Financial Services Group Inc. grew its holdings in shares of MINISO Group by 28.3% in the third quarter. PNC Financial Services Group Inc. now owns 2,480 shares of the company’s stock valued at $56,000 after purchasing an additional 547 shares in the last quarter. Finally, Atlas Capital Advisors Inc. bought a new stake in MINISO Group in the fourth quarter worth $126,000. 17.16% of the stock is owned by institutional investors.

About MINISO Group

MINISO Group (NYSE: MNSO) is a global retailer specializing in lifestyle and consumer goods. Since its founding in 2013, the company has focused on offering affordable, design-driven products across a broad range of categories. MINISO’s stores feature a clean, minimalist layout and emphasize a “fast fashion” inventory model designed to turn over goods quickly and respond to emerging trends.

The company’s product mix spans household items, kitchenware, cosmetics and personal care, stationery, toys, digital accessories, apparel and seasonal items.