Kingsoft Cloud (NASDAQ:KC) Shares Gap Up – Time to Buy?

Shares of Kingsoft Cloud Holdings Limited (NASDAQ:KC) gapped up before the market opened on Tuesday . The stock had previously closed at $2.83, but opened at $2.97. Kingsoft Cloud shares last traded at $3.02, with a volume of 740,267 shares trading hands.

Analyst Upgrades and Downgrades

Separately, Bank of America reduced their price objective on Kingsoft Cloud from $3.80 to $3.20 and set a “neutral” rating for the company in a research note on Wednesday, August 21st. One research analyst has rated the stock with a hold rating and four have given a buy rating to the company. According to MarketBeat, Kingsoft Cloud has a consensus rating of “Moderate Buy” and a consensus target price of $4.10.

Kingsoft Cloud Trading Up 2.5 %

The company has a debt-to-equity ratio of 0.03, a quick ratio of 0.84 and a current ratio of 0.84. The stock has a market cap of $735.69 million, a price-to-earnings ratio of -2.72 and a beta of 2.00. The company’s 50 day simple moving average is $2.68 and its two-hundred day simple moving average is $2.75.

Kingsoft Cloud (NASDAQ:KC) last issued its quarterly earnings data on Tuesday, August 20th. The company reported ($0.20) earnings per share for the quarter, missing the consensus estimate of ($0.16) by ($0.04). Kingsoft Cloud had a negative net margin of 25.33% and a negative return on equity of 24.99%. The business had revenue of $260.32 million for the quarter, compared to the consensus estimate of $251.17 million. Research analysts expect that Kingsoft Cloud Holdings Limited will post -0.69 EPS for the current fiscal year.

Institutional Investors Weigh In On Kingsoft Cloud

A number of large investors have recently added to or reduced their stakes in the stock. Mirae Asset Global Investments Co. Ltd. grew its position in shares of Kingsoft Cloud by 95.1% in the first quarter. Mirae Asset Global Investments Co. Ltd. now owns 640,486 shares of the company’s stock valued at $1,947,000 after purchasing an additional 312,132 shares during the last quarter. Swedbank AB bought a new stake in Kingsoft Cloud during the 1st quarter valued at approximately $649,000. Headlands Technologies LLC increased its position in Kingsoft Cloud by 313.9% in the 2nd quarter. Headlands Technologies LLC now owns 32,875 shares of the company’s stock worth $83,000 after buying an additional 24,932 shares during the period. Blue Trust Inc. acquired a new position in shares of Kingsoft Cloud during the second quarter worth approximately $36,000. Finally, Renaissance Technologies LLC boosted its position in shares of Kingsoft Cloud by 4.0% in the second quarter. Renaissance Technologies LLC now owns 460,400 shares of the company’s stock valued at $1,156,000 after acquiring an additional 17,700 shares during the period. Institutional investors own 13.40% of the company’s stock.

About Kingsoft Cloud

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.