Vipshop (NYSE:VIPS) Shares Gap Down on Analyst Downgrade

Vipshop Holdings Limited (NYSE:VIPS)’s stock price gapped down prior to trading on Thursday after StockNews.com downgraded the stock from a buy rating to a hold rating. The stock had previously closed at $13.54, but opened at $13.20. Vipshop shares last traded at $13.26, with a volume of 442,283 shares traded.

Other equities research analysts also recently issued reports about the company. CLSA downgraded Vipshop from an “outperform” rating to a “hold” rating and dropped their target price for the stock from $15.80 to $12.00 in a report on Wednesday, August 21st. Morgan Stanley cut their price objective on shares of Vipshop from $16.00 to $14.00 and set an “equal weight” rating on the stock in a research report on Tuesday, August 20th. Barclays initiated coverage on shares of Vipshop in a report on Wednesday, November 6th. They issued an “overweight” rating and a $19.00 target price for the company. Benchmark reaffirmed a “hold” rating on shares of Vipshop in a research report on Wednesday. Finally, Citigroup reduced their target price on Vipshop from $18.00 to $17.00 and set a “buy” rating for the company in a report on Wednesday. Six analysts have rated the stock with a hold rating and two have issued a buy rating to the company. According to data from MarketBeat.com, the company currently has a consensus rating of “Hold” and a consensus price target of $17.50.

Institutional Investors Weigh In On Vipshop

A number of large investors have recently made changes to their positions in the company. Krane Funds Advisors LLC boosted its holdings in shares of Vipshop by 20.3% in the second quarter. Krane Funds Advisors LLC now owns 15,737,381 shares of the technology company’s stock worth $204,901,000 after buying an additional 2,659,117 shares during the last quarter. Hhlr Advisors LTD. raised its position in Vipshop by 6.2% in the third quarter. Hhlr Advisors LTD. now owns 15,720,322 shares of the technology company’s stock worth $247,281,000 after acquiring an additional 914,322 shares during the period. Vanguard Group Inc. boosted its stake in shares of Vipshop by 1.8% during the 1st quarter. Vanguard Group Inc. now owns 13,762,669 shares of the technology company’s stock worth $227,772,000 after acquiring an additional 248,743 shares during the last quarter. First Beijing Investment Ltd bought a new stake in shares of Vipshop during the 3rd quarter valued at $120,182,000. Finally, Dimensional Fund Advisors LP increased its stake in shares of Vipshop by 5.4% in the 2nd quarter. Dimensional Fund Advisors LP now owns 6,739,378 shares of the technology company’s stock worth $87,771,000 after purchasing an additional 343,739 shares in the last quarter. 48.82% of the stock is currently owned by institutional investors.

Vipshop Stock Performance

The company has a market capitalization of $7.21 billion, a P/E ratio of 6.48, a PEG ratio of 1.49 and a beta of 0.34. The stock has a fifty day moving average of $14.64 and a 200 day moving average of $14.42.

Vipshop (NYSE:VIPS) last posted its quarterly earnings data on Tuesday, August 20th. The technology company reported $3.91 EPS for the quarter, topping the consensus estimate of $0.48 by $3.43. The firm had revenue of $25.08 billion for the quarter, compared to the consensus estimate of $26.61 billion. Vipshop had a return on equity of 21.04% and a net margin of 7.50%. The business’s revenue for the quarter was down 4.1% compared to the same quarter last year. During the same quarter last year, the company earned $0.51 earnings per share. Research analysts anticipate that Vipshop Holdings Limited will post 1.97 EPS for the current fiscal year.

About Vipshop

Vipshop Holdings Limited operates online platforms in the People's Republic of China. It operates in Vip.com, Shan Shan Outlets, and Others segments. The company offers womenswear, menswear, sportswear and sporting goods, shoes and bags, accessories, baby and children products, skincare and cosmetics, home goods and other lifestyle products, and supermarket products.