Yalla Group (NYSE:YALA) Shares Gap Down – Should You Sell?

Yalla Group Limited Sponsored ADR (NYSE:YALA)’s share price gapped down before the market opened on Tuesday . The stock had previously closed at $6.77, but opened at $6.11. Yalla Group shares last traded at $6.5820, with a volume of 101,767 shares.

Wall Street Analyst Weigh In

Separately, Weiss Ratings reiterated a “hold (c+)” rating on shares of Yalla Group in a report on Wednesday, January 21st. One investment analyst has rated the stock with a Hold rating, According to MarketBeat.com, Yalla Group currently has a consensus rating of “Hold”.

Yalla Group Stock Down 6.8%

The company’s fifty day moving average is $6.60 and its 200 day moving average is $6.91. The stock has a market cap of $965.18 million, a PE ratio of 7.60 and a beta of 0.51.

Yalla Group (NYSE:YALA) last posted its quarterly earnings results on Saturday, February 14th. The company reported $0.21 EPS for the quarter. Yalla Group had a net margin of 43.82% and a return on equity of 19.67%. The firm had revenue of $83.86 million for the quarter.

Yalla Group declared that its board has approved a stock repurchase plan on Monday, March 9th that authorizes the company to repurchase $150.00 million in outstanding shares. This repurchase authorization authorizes the company to repurchase up to 13.6% of its shares through open market purchases. Shares repurchase plans are usually a sign that the company’s board of directors believes its stock is undervalued.

Institutional Trading of Yalla Group

A number of hedge funds have recently made changes to their positions in YALA. ACT Capital Management LLC purchased a new stake in shares of Yalla Group during the fourth quarter worth about $35,000. EverSource Wealth Advisors LLC increased its holdings in Yalla Group by 73.7% in the second quarter. EverSource Wealth Advisors LLC now owns 6,481 shares of the company’s stock valued at $44,000 after buying an additional 2,749 shares during the last quarter. Mirae Asset Global Investments Co. Ltd. bought a new stake in Yalla Group in the third quarter valued at about $71,000. Verition Fund Management LLC bought a new stake in Yalla Group in the fourth quarter valued at about $73,000. Finally, Cresset Asset Management LLC bought a new stake in Yalla Group during the third quarter valued at $82,000. Hedge funds and other institutional investors own 4.73% of the company’s stock.

Yalla Group Company Profile

Yalla Group (NYSE:YALA) operates a voice-centric social networking and entertainment platform designed to connect users through live audio chat rooms, interactive voice channels and mobile gaming. Its core product, the Yalla app, allows participants in the Middle East and North Africa (MENA) region to join real-time voice discussion groups, host audio shows and send virtual gifts. Through the PokerBROS brand, the company offers a mobile-first social poker platform featuring Texas Hold’em, Chinese Poker and other variants, enabling casual and competitive gaming among a growing user base.

Founded in 2016 and incorporated in the Cayman Islands, Yalla Group established its headquarters in Riyadh with additional offices in Dubai and Asia.