Kingsoft Cloud (NASDAQ:KC) Shares Gap Up – Still a Buy?

Kingsoft Cloud Holdings Limited (NASDAQ:KC)’s stock price gapped up before the market opened on Tuesday . The stock had previously closed at $18.03, but opened at $19.02. Kingsoft Cloud shares last traded at $17.94, with a volume of 1,019,420 shares.

Analysts Set New Price Targets

Several equities analysts have recently commented on the stock. UBS Group upgraded shares of Kingsoft Cloud from a “neutral” rating to a “buy” rating and upped their price objective for the stock from $4.20 to $12.50 in a report on Friday, December 6th. Nomura Securities cut Kingsoft Cloud from a “strong-buy” rating to a “hold” rating in a research note on Monday, March 3rd. Finally, Nomura cut Kingsoft Cloud from a “buy” rating to a “neutral” rating in a report on Monday, March 3rd. Three equities research analysts have rated the stock with a hold rating and four have given a buy rating to the company. Based on data from MarketBeat.com, the stock has an average rating of “Moderate Buy” and a consensus target price of $5.93.

Kingsoft Cloud Price Performance

The company has a current ratio of 0.67, a quick ratio of 0.67 and a debt-to-equity ratio of 0.10. The stock has a market capitalization of $4.68 billion, a price-to-earnings ratio of -15.37 and a beta of 2.23. The company’s 50 day moving average is $15.27 and its 200 day moving average is $8.79.

Kingsoft Cloud (NASDAQ:KC) last posted its quarterly earnings data on Wednesday, March 19th. The company reported ($0.05) earnings per share for the quarter, beating the consensus estimate of ($0.11) by $0.06. Kingsoft Cloud had a negative return on equity of 19.13% and a negative net margin of 28.41%. The business had revenue of $2.23 billion during the quarter, compared to the consensus estimate of $2.11 billion. During the same period in the prior year, the company earned $0.08 earnings per share. The company’s revenue was up 29.6% compared to the same quarter last year. Research analysts anticipate that Kingsoft Cloud Holdings Limited will post -0.63 EPS for the current fiscal year.

Institutional Trading of Kingsoft Cloud

Several hedge funds have recently made changes to their positions in KC. Mirae Asset Global Investments Co. Ltd. grew its position in shares of Kingsoft Cloud by 12.7% in the fourth quarter. Mirae Asset Global Investments Co. Ltd. now owns 19,549 shares of the company’s stock valued at $205,000 after purchasing an additional 2,200 shares during the last quarter. State Street Corp raised its holdings in shares of Kingsoft Cloud by 0.5% in the 3rd quarter. State Street Corp now owns 609,790 shares of the company’s stock worth $1,793,000 after purchasing an additional 3,104 shares during the period. Two Sigma Advisers LP grew its holdings in Kingsoft Cloud by 13.8% during the 4th quarter. Two Sigma Advisers LP now owns 27,200 shares of the company’s stock valued at $285,000 after purchasing an additional 3,300 shares in the last quarter. Invesco Ltd. grew its stake in shares of Kingsoft Cloud by 8.4% during the fourth quarter. Invesco Ltd. now owns 62,855 shares of the company’s stock valued at $659,000 after acquiring an additional 4,878 shares in the last quarter. Finally, Marshall Wace LLP purchased a new stake in Kingsoft Cloud during the 4th quarter worth approximately $119,000. Institutional investors and hedge funds own 13.40% of the company’s stock.

Kingsoft Cloud Company Profile

Kingsoft Cloud Holdings Limited provides cloud services to businesses and organizations primarily in China. The company's products portfolio includes cloud products, including infrastructure as a service (IaaS) infrastructure, platform as a service (PaaS) middleware, and software as a service (SaaS) applications that primarily consist of cloud computing, network, database, big data, security, storage, and delivery solutions.