NetEase (NASDAQ:NTES) Shares Gap Up – Here’s Why

NetEase, Inc. (NASDAQ:NTES) shares gapped up before the market opened on Tuesday . The stock had previously closed at $102.92, but opened at $105.48. NetEase shares last traded at $105.48, with a volume of 311,646 shares trading hands.

Wall Street Analyst Weigh In

A number of research firms recently weighed in on NTES. Bank of America increased their price objective on shares of NetEase from $120.00 to $122.00 and gave the stock a “buy” rating in a report on Wednesday, January 15th. Barclays raised their price target on shares of NetEase from $82.00 to $104.00 and gave the company an “equal weight” rating in a research note on Monday, February 24th. Benchmark boosted their price objective on NetEase from $105.00 to $115.00 and gave the stock a “buy” rating in a research report on Friday, February 21st. StockNews.com cut NetEase from a “strong-buy” rating to a “buy” rating in a research report on Friday, December 6th. Finally, Morgan Stanley increased their price target on NetEase from $108.00 to $117.00 and gave the stock an “overweight” rating in a research note on Wednesday, February 12th. One investment analyst has rated the stock with a hold rating and seven have given a buy rating to the company. Based on data from MarketBeat, the stock has an average rating of “Moderate Buy” and a consensus target price of $114.57.

NetEase Price Performance

The company has a fifty day simple moving average of $102.36 and a 200-day simple moving average of $93.27. The company has a market cap of $68.33 billion, a P/E ratio of 16.70, a PEG ratio of 3.37 and a beta of 0.61.

NetEase (NASDAQ:NTES) last announced its earnings results on Thursday, February 20th. The technology company reported $1.87 EPS for the quarter, beating the consensus estimate of $1.73 by $0.14. The business had revenue of $3.66 billion during the quarter, compared to the consensus estimate of $27.16 billion. NetEase had a return on equity of 22.12% and a net margin of 28.17%. On average, analysts anticipate that NetEase, Inc. will post 6.91 EPS for the current year.

NetEase Announces Dividend

The firm also recently announced a quarterly dividend, which was paid on Thursday, March 20th. Stockholders of record on Thursday, March 6th were given a $0.435 dividend. The ex-dividend date of this dividend was Thursday, March 6th. This represents a $1.74 annualized dividend and a dividend yield of 1.64%. NetEase’s dividend payout ratio (DPR) is presently 76.45%.

Institutional Inflows and Outflows

Large investors have recently bought and sold shares of the business. Toronto Dominion Bank purchased a new position in NetEase during the 4th quarter valued at about $145,000. GF Fund Management CO. LTD. acquired a new stake in shares of NetEase during the fourth quarter worth approximately $1,362,000. Public Employees Retirement System of Ohio grew its position in NetEase by 3.1% during the fourth quarter. Public Employees Retirement System of Ohio now owns 128,316 shares of the technology company’s stock valued at $11,447,000 after purchasing an additional 3,883 shares in the last quarter. GTS Securities LLC acquired a new position in NetEase in the 4th quarter valued at approximately $210,000. Finally, Vise Technologies Inc. purchased a new stake in NetEase in the 4th quarter worth approximately $412,000. 11.07% of the stock is owned by institutional investors and hedge funds.

NetEase Company Profile

NetEase, Inc engages in online games, music streaming, online intelligent learning services, and internet content services businesses in China and internationally . The company operates through Games and Related Value-Added Services, Youdao, Cloud Music, and Innovative Businesses and Others segments.