NetEase (NASDAQ:NTES) Shares Gap Down – Here’s What Happened

NetEase, Inc. (NASDAQ:NTES) gapped down before the market opened on Friday . The stock had previously closed at $81.16, but opened at $76.68. NetEase shares last traded at $76.95, with a volume of 208,947 shares changing hands.

Analyst Ratings Changes

A number of equities analysts have recently issued reports on NTES shares. Bank of America dropped their price target on NetEase from $142.00 to $120.00 and set a “buy” rating on the stock in a research report on Friday, August 23rd. Barclays cut their target price on shares of NetEase from $104.00 to $82.00 and set an “equal weight” rating on the stock in a research report on Monday, August 26th. StockNews.com cut shares of NetEase from a “strong-buy” rating to a “buy” rating in a research report on Saturday, July 20th. Finally, Jefferies Financial Group cut their price objective on shares of NetEase from $126.00 to $103.00 and set a “buy” rating on the stock in a report on Thursday, August 22nd. Two research analysts have rated the stock with a hold rating and five have given a buy rating to the stock. According to MarketBeat.com, the company has an average rating of “Moderate Buy” and a consensus price target of $112.67.

NetEase Stock Performance

The firm’s 50 day moving average is $83.65 and its 200 day moving average is $89.70. The stock has a market cap of $49.39 billion, a P/E ratio of 12.53, a price-to-earnings-growth ratio of 1.75 and a beta of 0.57.

NetEase (NASDAQ:NTES) last issued its quarterly earnings results on Thursday, August 22nd. The technology company reported $12.05 earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of $1.62 by $10.43. The business had revenue of $25.49 billion for the quarter, compared to the consensus estimate of $26.01 billion. NetEase had a return on equity of 22.30% and a net margin of 26.98%. The business’s quarterly revenue was up 6.1% on a year-over-year basis. During the same period in the prior year, the firm posted $1.75 earnings per share. As a group, analysts expect that NetEase, Inc. will post 6.02 EPS for the current fiscal year.

NetEase Cuts Dividend

The firm also recently declared a quarterly dividend, which was paid on Friday, September 20th. Shareholders of record on Friday, September 6th were issued a $0.435 dividend. This represents a $1.74 annualized dividend and a yield of 2.26%. The ex-dividend date was Friday, September 6th. NetEase’s dividend payout ratio is presently 28.22%.

Institutional Trading of NetEase

Several large investors have recently bought and sold shares of NTES. ORG Partners LLC acquired a new position in shares of NetEase in the first quarter valued at about $50,000. SG Americas Securities LLC raised its position in NetEase by 124.9% during the 1st quarter. SG Americas Securities LLC now owns 17,040 shares of the technology company’s stock worth $1,763,000 after buying an additional 9,464 shares during the last quarter. OPTIMAS CAPITAL Ltd acquired a new stake in NetEase during the 1st quarter valued at approximately $2,835,000. Capital Wealth Planning LLC boosted its holdings in shares of NetEase by 25.7% in the 1st quarter. Capital Wealth Planning LLC now owns 26,189 shares of the technology company’s stock valued at $2,710,000 after acquiring an additional 5,348 shares during the last quarter. Finally, SIH Partners LLLP increased its stake in shares of NetEase by 492.6% in the first quarter. SIH Partners LLLP now owns 93,197 shares of the technology company’s stock worth $9,643,000 after acquiring an additional 77,469 shares during the period. Hedge funds and other institutional investors own 11.07% of the company’s stock.

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.