Gaotu Techedu (NYSE:GOTU) Shares Gap Up After Better-Than-Expected Earnings

Gaotu Techedu Inc. (NYSE:GOTU) shares gapped up prior to trading on Wednesday after the company announced better than expected quarterly earnings. The stock had previously closed at $2.53, but opened at $2.80. Gaotu Techedu shares last traded at $3.17, with a volume of 4,975,926 shares traded.

The company reported ($0.26) EPS for the quarter. Gaotu Techedu had a negative net margin of 26.36% and a negative return on equity of 37.79%.

Institutional Inflows and Outflows

Several institutional investors have recently added to or reduced their stakes in the stock. Public Employees Retirement System of Ohio bought a new position in Gaotu Techedu in the 3rd quarter worth about $38,000. Catalyst Funds Management Pty Ltd purchased a new stake in shares of Gaotu Techedu in the fourth quarter valued at approximately $38,000. Two Sigma Advisers LP purchased a new stake in shares of Gaotu Techedu in the fourth quarter valued at approximately $41,000. Two Sigma Securities LLC bought a new position in Gaotu Techedu in the fourth quarter worth approximately $86,000. Finally, Lighthouse Investment Partners LLC purchased a new position in Gaotu Techedu during the 4th quarter worth $103,000. Hedge funds and other institutional investors own 48.42% of the company’s stock.

Gaotu Techedu Trading Up 30.6 %

The firm has a market capitalization of $857.88 million, a P/E ratio of -5.80 and a beta of 0.06. The stock has a 50-day simple moving average of $2.30 and a two-hundred day simple moving average of $2.85.

Gaotu Techedu Company Profile

Gaotu Techedu Inc, a technology-driven education company, provides learning services, educational content, and digitalized learning products in the People's Republic of China. The company offers traditional online academic subject tutoring services that covers academic subjects, such as mathematics, English, Chinese, physics, chemistry, biology, history, geography, and political science for students; non-academic tutoring services; personal interest courses comprising chess learning, family relationships and education, humanities, and science courses; and professional courses primarily for college students and adults preparing for professional qualification exams, such as teacher's qualification, Chartered Financial Analyst designation, Certified Public Accountant designation, and other exams.