Daqo New Energy (NYSE:DQ) Stock Rating Upgraded by HSBC

HSBC upgraded shares of Daqo New Energy (NYSE:DQ) from a hold rating to a buy rating in a report issued on Wednesday, Marketbeat Ratings reports.

Several other brokerages have also recently commented on DQ. Jefferies Financial Group dropped their target price on shares of Daqo New Energy from $38.40 to $34.05 and set a buy rating for the company in a research report on Monday, August 26th. Hsbc Global Res upgraded shares of Daqo New Energy from a moderate sell rating to a hold rating in a research report on Tuesday, August 27th. StockNews.com raised Daqo New Energy to a sell rating in a report on Monday, September 23rd. Nomura Securities raised Daqo New Energy to a strong-buy rating in a report on Wednesday, August 28th. Finally, The Goldman Sachs Group began coverage on Daqo New Energy in a research report on Thursday, July 11th. They set a buy rating for the company. Two investment analysts have rated the stock with a sell rating, one has given a hold rating, three have issued a buy rating and two have issued a strong buy rating to the company. According to data from MarketBeat, the company currently has an average rating of Moderate Buy and a consensus price target of $22.26.

Daqo New Energy Price Performance

Shares of NYSE:DQ opened at $24.48 on Wednesday. The business’s 50 day simple moving average is $16.55 and its 200 day simple moving average is $19.18. Daqo New Energy has a 1 year low of $13.62 and a 1 year high of $30.03. The company has a market capitalization of $1.62 billion, a P/E ratio of 11.49 and a beta of 0.32.

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

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

Hedge Funds Weigh In On Daqo New Energy

Large investors have recently bought and sold shares of the company. BNP Paribas Financial Markets raised its holdings in Daqo New Energy by 142.1% in the 1st quarter. BNP Paribas Financial Markets now owns 696,865 shares of the semiconductor company’s stock valued at $19,617,000 after buying an additional 409,057 shares during the last quarter. Quadrature Capital Ltd bought a new position in shares of Daqo New Energy during the fourth quarter valued at $471,000. Franchise Capital Ltd acquired a new position in shares of Daqo New Energy during the fourth quarter worth $4,788,000. Jupiter Asset Management Ltd. bought a new stake in shares of Daqo New Energy in the first quarter worth $9,647,000. Finally, Acadian Asset Management LLC bought a new stake in shares of Daqo New Energy in the first quarter worth $3,457,000. 47.22% of the stock is currently owned by institutional investors.

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.