DAQO New Energy (NYSE:DQ) Shares Down 8.3% – Should You Sell?

DAQO New Energy Corp. (NYSE:DQ)’s stock price was down 8.3% on Tuesday . The company traded as low as $20.38 and last traded at $20.3360. Approximately 496,139 shares were traded during trading, a decline of 28% from the average daily volume of 688,206 shares. The stock had previously closed at $22.18.

Analysts Set New Price Targets

DQ has been the subject of a number of analyst reports. New Street Research set a $18.13 price target on DAQO New Energy in a research note on Tuesday, February 3rd. Glj Research downgraded shares of DAQO New Energy from a “buy” rating to a “sell” rating and reduced their price objective for the stock from $30.51 to $18.13 in a research note on Tuesday, February 3rd. Finally, Weiss Ratings reissued a “sell (d-)” rating on shares of DAQO New Energy in a report on Friday, March 27th. One analyst has rated the stock with a Strong Buy rating, one has issued a Buy rating, two have given a Hold rating and two have given a Sell rating to the company’s stock. According to MarketBeat, the company has an average rating of “Hold” and a consensus target price of $25.43.

DAQO New Energy Trading Down 1.3%

The stock has a market capitalization of $1.54 billion, a P/E ratio of -9.03 and a beta of 0.80. The company has a 50-day moving average price of $22.52 and a two-hundred day moving average price of $26.80.

DAQO New Energy (NYSE:DQ) last announced its earnings results on Monday, March 2nd. The semiconductor company reported ($0.11) EPS for the quarter, missing the consensus estimate of ($0.04) by ($0.07). DAQO New Energy had a negative net margin of 25.62% and a negative return on equity of 2.92%. The business had revenue of $221.71 million for the quarter, compared to the consensus estimate of $276.94 million. Research analysts forecast that DAQO New Energy Corp. will post -0.38 earnings per share for the current year.

Hedge Funds Weigh In On DAQO New Energy

Large investors have recently modified their holdings of the company. Millennium Management LLC grew its holdings in shares of DAQO New Energy by 1,261.0% in the first quarter. Millennium Management LLC now owns 354,596 shares of the semiconductor company’s stock valued at $6,422,000 after acquiring an additional 328,541 shares in the last quarter. Goldman Sachs Group Inc. lifted its holdings in DAQO New Energy by 117.2% during the first quarter. Goldman Sachs Group Inc. now owns 1,159,835 shares of the semiconductor company’s stock worth $21,005,000 after acquiring an additional 625,900 shares during the period. UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC lifted its holdings in DAQO New Energy by 34.4% during the first quarter. UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC now owns 174,912 shares of the semiconductor company’s stock worth $3,168,000 after acquiring an additional 44,780 shares during the period. Jump Financial LLC boosted its position in DAQO New Energy by 78.0% in the second quarter. Jump Financial LLC now owns 212,200 shares of the semiconductor company’s stock worth $3,219,000 after purchasing an additional 92,954 shares during the last quarter. Finally, Bank of America Corp DE grew its stake in DAQO New Energy by 267.0% in the 2nd quarter. Bank of America Corp DE now owns 193,805 shares of the semiconductor company’s stock valued at $2,940,000 after purchasing an additional 141,004 shares during the period. 47.22% of the stock is currently owned by institutional investors.

DAQO New Energy Company Profile

DAQO New Energy Corp. operates as a leading manufacturer of high-purity polysilicon and monocrystalline silicon wafers for the global solar photovoltaic industry. The company focuses on serving module makers and integrated solar producers with critical upstream materials, applying proprietary technologies and optimized processes to achieve high product purity and consistently low production costs. Its core offerings include solar-grade polysilicon—used in the ingot casting and wafer slicing stages—and premium mono-silicon wafers, which are a key input for high-efficiency solar cell production.

Founded in the late 2000s and listed on the New York Stock Exchange in 2010, DAQO New Energy established its first polysilicon facility in China’s Xinjiang Uygur Autonomous Region.