GDS (NASDAQ:GDS) Posts Quarterly Earnings Results, Beats Expectations By $0.17 EPS

GDS (NASDAQ:GDS) posted its quarterly earnings results on Wednesday. The company reported ($0.10) earnings per share for the quarter, beating the consensus estimate of ($0.27) by $0.17, Zacks reports. The business had revenue of $425.13 million during the quarter, compared to analysts’ expectations of $3.11 billion. GDS had a negative net margin of 35.97% and a negative return on equity of 8.22%. The business’s revenue for the quarter was up 9.1% on a year-over-year basis. During the same quarter in the prior year, the company posted ($2.16) EPS. GDS updated its FY 2025 guidance to EPS.

GDS Stock Down 6.5 %

GDS stock traded down $1.99 during mid-day trading on Thursday, reaching $28.62. 4,967,332 shares of the company’s stock were exchanged, compared to its average volume of 1,932,521. GDS has a twelve month low of $5.85 and a twelve month high of $52.50. The company has a fifty day moving average of $31.33 and a 200-day moving average of $24.41. The company has a market cap of $5.45 billion, a P/E ratio of -9.38 and a beta of 0.06. The company has a quick ratio of 1.19, a current ratio of 1.19 and a debt-to-equity ratio of 2.25.

Wall Street Analyst Weigh In

A number of research firms recently weighed in on GDS. Jefferies Financial Group raised shares of GDS from a “hold” rating to a “buy” rating and set a $45.00 price objective for the company in a research report on Tuesday. Daiwa Capital Markets raised shares of GDS from a “neutral” rating to a “buy” rating in a research report on Tuesday, February 11th. Royal Bank of Canada cut shares of GDS from an “outperform” rating to a “sector perform” rating and increased their price objective for the stock from $26.00 to $37.00 in a research report on Tuesday, February 25th. Raymond James raised shares of GDS from an “outperform” rating to a “strong-buy” rating and set a $53.00 price objective for the company in a research report on Thursday. Finally, Citizens Jmp raised shares of GDS to a “strong-buy” rating in a research report on Monday, January 27th. One equities research analyst has rated the stock with a sell rating, two have given a hold rating, four have assigned a buy rating and three have given a strong buy rating to the company’s stock. Based on data from MarketBeat, the company presently has a consensus rating of “Moderate Buy” and a consensus target price of $33.23.

GDS Company Profile

GDS Holdings Limited, together with its subsidiaries, develops and operates data centers in the People's Republic of China. The company provides colocation services comprising critical facilities space, customer-available power, racks, and cooling; managed hosting services, including business continuity and disaster recovery, network management, data storage, system security, operating system, database, and server middleware services; managed cloud services; and consulting services.