DAQO New Energy (NYSE:DQ) Sets New 12-Month Low – Time to Sell?

DAQO New Energy Corp. (NYSE:DQ)’s share price hit a new 52-week low during mid-day trading on Thursday. The stock traded as low as $10.56 and last traded at $10.64, with a volume of 55,633 shares traded. The stock had previously closed at $10.71.

Analyst Ratings Changes

A number of research firms recently weighed in on DQ. Zacks Research raised shares of DAQO New Energy from a “strong sell” rating to a “hold” rating in a research report on Tuesday, September 29th. Weiss Ratings raised DAQO New Energy from a “sell (e+)” rating to a “sell (d-)” rating in a research report on Monday, September 14th. JPMorgan Chase & Co. reduced their price objective on DAQO New Energy from $35.50 to $22.00 and set an “overweight” rating for the company in a research note on Friday, July 31st. New Street Research set a $10.00 price objective on DAQO New Energy in a research note on Monday, August 24th. Finally, The Goldman Sachs Group lowered DAQO New Energy from a “neutral” rating to a “sell” rating and set a $10.00 target price for the company. in a research report on Monday, August 24th. One investment analyst has rated the stock with a Buy rating, two have issued a Hold rating and three have assigned a Sell rating to the stock. According to data from MarketBeat, the company has a consensus rating of “Reduce” and an average target price of $15.83.

DAQO New Energy Stock Performance

The firm has a market capitalization of $713.58 million, a P/E ratio of -3.71 and a beta of 0.67. The business has a 50 day simple moving average of $12.53 and a two-hundred day simple moving average of $15.12.

DAQO New Energy (NYSE:DQ) last issued its quarterly earnings results on Thursday, August 20th. The semiconductor company reported ($1.20) earnings per share (EPS) for the quarter, missing analysts’ consensus estimates of ($0.57) by ($0.63). DAQO New Energy had a negative net margin of 34.50% and a negative return on equity of 3.26%. The business had revenue of $62.66 million for the quarter, compared to the consensus estimate of $52.93 million. On average, equities analysts anticipate that DAQO New Energy Corp. will post -1.96 earnings per share for the current fiscal year.

Hedge Funds Weigh In On DAQO New Energy

A number of large investors have recently modified their holdings of the company. Renaissance Technologies LLC purchased a new position in shares of DAQO New Energy during the first quarter worth approximately $3,285,000. Cygnus Capital Advisors LLC bought a new stake in shares of DAQO New Energy in the 2nd quarter worth approximately $724,000. Nykredit A S purchased a new stake in shares of DAQO New Energy in the 2nd quarter valued at $28,000. Public Employees Retirement System of Ohio purchased a new stake in shares of DAQO New Energy in the 2nd quarter valued at $273,000. Finally, BTG Pactual Asset Management US LLC bought a new position in shares of DAQO New Energy during the 2nd quarter valued at $224,000. 47.22% of the stock is owned by hedge funds and other institutional investors.

DAQO New Energy Company Profile

Daqo New Energy Corp. is a China-based manufacturer of high-purity polysilicon, a critical raw material used in the production of solar photovoltaic wafers, cells and modules. Through its principal operating subsidiary, Xinjiang Daqo New Energy Co, Ltd., the company produces polysilicon for the global solar industry.

The company’s products are primarily used by photovoltaic manufacturers to make monocrystalline and multicrystalline silicon wafers. Daqo operates production facilities in China, including in Xinjiang, and supplies customers in China and international markets through the solar photovoltaic manufacturing supply chain.

Daqo New Energy was established in 2008 and completed its initial public offering on the New York Stock Exchange in 2010.