Daqo New Energy (NYSE:DQ) Sees Unusually-High Trading Volume – Here’s Why

Daqo New Energy Corp. (NYSE:DQ) shares saw unusually-strong trading volume on Wednesday . Approximately 1,356,692 shares changed hands during mid-day trading, an increase of 27% from the previous session’s volume of 1,065,444 shares.The stock last traded at $22.86 and had previously closed at $20.82.

Analysts Set New Price Targets

Several equities research analysts recently commented on the stock. Roth Mkm cut their price target on shares of Daqo New Energy from $23.00 to $15.00 and set a “neutral” rating for the company in a report on Wednesday, August 28th. StockNews.com upgraded shares of Daqo New Energy to a “sell” rating in a research report on Monday, September 23rd. Nomura Securities upgraded Daqo New Energy to a “strong-buy” rating in a report on Wednesday, August 28th. Daiwa America raised Daqo New Energy to a “hold” rating in a report on Wednesday, October 9th. Finally, Daiwa Capital Markets restated a “hold” rating and issued a $25.00 target price (up previously from $18.00) on shares of Daqo New Energy in a research report on Wednesday, October 9th. One analyst has rated the stock with a sell rating, three have issued a hold rating, three have assigned a buy rating and two have issued a strong buy rating to the stock. According to MarketBeat.com, Daqo New Energy currently has a consensus rating of “Moderate Buy” and a consensus price target of $22.26.

Daqo New Energy Stock Up 4.3 %

The firm has a market capitalization of $1.43 billion, a PE ratio of 10.62 and a beta of 0.32. The business has a 50-day moving average price of $17.44 and a 200-day moving average price of $18.49.

Daqo New Energy (NYSE:DQ) last issued its earnings results on Monday, August 26th. The semiconductor company reported ($1.81) earnings per share (EPS) for the quarter, missing analysts’ consensus estimates of ($0.56) by ($1.25). Daqo New Energy had a negative return on equity of 1.04% and a negative net margin of 4.11%. The company had revenue of $219.91 million during the quarter, compared to analyst estimates of $406.50 million. During the same period last year, the business earned $1.34 earnings per share. On average, equities research analysts anticipate that Daqo New Energy Corp. will post -3.35 earnings per share for the current year.

Daqo New Energy declared that its Board of Directors has approved a share repurchase program on Monday, July 22nd that permits the company to buyback $100.00 million in outstanding shares. This buyback authorization permits the semiconductor company to purchase up to 8.6% of its shares through open market purchases. Shares buyback programs are usually a sign that the company’s board of directors believes its shares are undervalued.

Institutional Trading of Daqo New Energy

Several hedge funds have recently made changes to their positions in the company. Blue Trust Inc. increased its position in shares of Daqo New Energy by 12,187.5% during the second quarter. Blue Trust Inc. now owns 1,966 shares of the semiconductor company’s stock valued at $29,000 after acquiring an additional 1,950 shares during the last quarter. PNC Financial Services Group Inc. lifted its stake in Daqo New Energy by 117.5% during the fourth quarter. PNC Financial Services Group Inc. now owns 1,588 shares of the semiconductor company’s stock worth $42,000 after purchasing an additional 858 shares in the last quarter. Signaturefd LLC boosted its position in shares of Daqo New Energy by 27.3% during the third quarter. Signaturefd LLC now owns 2,809 shares of the semiconductor company’s stock worth $57,000 after buying an additional 602 shares during the period. AXA S.A. grew its stake in shares of Daqo New Energy by 202.3% in the second quarter. AXA S.A. now owns 6,387 shares of the semiconductor company’s stock valued at $93,000 after buying an additional 4,274 shares in the last quarter. Finally, Rhumbline Advisers raised its holdings in shares of Daqo New Energy by 22.2% in the 2nd quarter. Rhumbline Advisers now owns 8,104 shares of the semiconductor company’s stock valued at $118,000 after buying an additional 1,470 shares during the period. Hedge funds and other institutional investors own 47.22% of the company’s stock.

Daqo New Energy Company Profile

Daqo New Energy Corp., together with its subsidiaries, manufactures and sells polysilicon to photovoltaic product manufacturers in the People's Republic of China. Its products are used in ingots, wafers, cells, and modules for solar power solutions. The company was formerly known as Mega Stand International Limited and changed its name to Daqo New Energy Corp.