iQIYI (NASDAQ:IQ) Shares Gap Down – Should You Sell?

iQIYI, Inc. (NASDAQ:IQ) shares gapped down before the market opened on Monday . The stock had previously closed at $2.26, but opened at $2.19. iQIYI shares last traded at $2.11, with a volume of 18,692,724 shares.

Analyst Ratings Changes

IQ has been the subject of several recent analyst reports. OTR Global reiterated a “negative” rating on shares of iQIYI in a research note on Wednesday, January 8th. JPMorgan Chase & Co. reduced their price objective on shares of iQIYI from $2.50 to $1.80 and set a “neutral” rating for the company in a research report on Friday, November 22nd. Hsbc Global Res raised shares of iQIYI from a “moderate sell” rating to a “hold” rating in a research report on Thursday, January 16th. Benchmark reaffirmed a “hold” rating on shares of iQIYI in a report on Wednesday, February 19th. Finally, Citigroup decreased their price target on iQIYI from $3.00 to $2.80 and set a “buy” rating for the company in a research report on Thursday, January 16th. One analyst has rated the stock with a sell rating, six have given a hold rating and one has issued a buy rating to the company. According to MarketBeat, the company has a consensus rating of “Hold” and an average price target of $2.91.

iQIYI Stock Down 7.7 %

The company has a current ratio of 0.44, a quick ratio of 0.45 and a debt-to-equity ratio of 0.70. The stock has a market capitalization of $2.00 billion, a P/E ratio of 20.85, a P/E/G ratio of 4.13 and a beta of 0.03. The stock’s 50-day moving average price is $2.13 and its two-hundred day moving average price is $2.33.

iQIYI (NASDAQ:IQ) last announced its quarterly earnings data on Tuesday, February 18th. The company reported ($0.03) earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of ($0.04) by $0.01. The business had revenue of $919.56 million for the quarter, compared to analysts’ expectations of $6.62 billion. iQIYI had a return on equity of 7.62% and a net margin of 2.62%. As a group, research analysts expect that iQIYI, Inc. will post 0.04 earnings per share for the current fiscal year.

Institutional Investors Weigh In On iQIYI

Several institutional investors have recently made changes to their positions in IQ. Creative Planning increased its position in shares of iQIYI by 31.5% during the third quarter. Creative Planning now owns 108,280 shares of the company’s stock valued at $310,000 after buying an additional 25,961 shares during the period. Ground Swell Capital LLC purchased a new position in iQIYI during the third quarter valued at approximately $32,000. Principal Financial Group Inc. increased its holdings in iQIYI by 181.1% during the 3rd quarter. Principal Financial Group Inc. now owns 101,500 shares of the company’s stock worth $290,000 after acquiring an additional 65,396 shares during the period. GSA Capital Partners LLP lifted its stake in iQIYI by 127.2% in the 3rd quarter. GSA Capital Partners LLP now owns 66,789 shares of the company’s stock worth $191,000 after purchasing an additional 37,396 shares in the last quarter. Finally, CloudAlpha Capital Management Limited Hong Kong bought a new position in iQIYI in the 3rd quarter valued at $523,000. Hedge funds and other institutional investors own 52.69% of the company’s stock.

iQIYI Company Profile

iQIYI, Inc, together with its subsidiaries, provides online entertainment video services in the People's Republic of China. It offers various products and services, including online video, online games, online literature, animations, and other products. The company operates a platform that provides a collection of internet video content, such as professionally produced content licensed from professional content providers and self-produced content.