DAQO New Energy (NYSE:DQ) Trading Up 6.5% – Time to Buy?

DAQO New Energy Corp. (NYSE:DQ)’s stock price rose 6.5% during trading on Monday . The stock traded as high as $33.30 and last traded at $33.2880. Approximately 126,829 shares changed hands during mid-day trading, a decline of 88% from the average daily volume of 1,073,674 shares. The stock had previously closed at $31.25.

Wall Street Analysts Forecast Growth

A number of research firms recently issued reports on DQ. Hsbc Global Res raised DAQO New Energy from a “hold” rating to a “strong-buy” rating in a report on Wednesday, August 27th. New Street Research set a $15.40 target price on shares of DAQO New Energy in a research note on Thursday, September 18th. HSBC upgraded shares of DAQO New Energy from a “hold” rating to a “buy” rating and set a $31.00 target price for the company in a report on Wednesday, August 27th. Citigroup upped their price target on DAQO New Energy from $27.00 to $37.00 and gave the company a “buy” rating in a report on Monday, September 8th. Finally, Glj Research restated a “buy” rating and issued a $30.51 target price on shares of DAQO New Energy in a report on Tuesday, August 26th. One equities research analyst has rated the stock with a Strong Buy rating, three have assigned a Buy rating, two have issued a Hold rating and one has issued a Sell rating to the company’s stock. Based on data from MarketBeat.com, DAQO New Energy has an average rating of “Moderate Buy” and a consensus price target of $27.04.

DAQO New Energy Stock Up 4.7%

The business’s 50 day simple moving average is $29.89 and its two-hundred day simple moving average is $23.78. The stock has a market cap of $2.19 billion, a P/E ratio of -6.39 and a beta of 0.66.

DAQO New Energy (NYSE:DQ) last released its quarterly earnings results on Monday, October 27th. The semiconductor company reported ($0.22) earnings per share for the quarter, topping the consensus estimate of ($0.61) by $0.39. DAQO New Energy had a negative return on equity of 5.89% and a negative net margin of 53.74%.The company had revenue of $244.60 million for the quarter, compared to analysts’ expectations of $176.78 million. As a group, research analysts forecast that DAQO New Energy Corp. will post -3.5 earnings per share for the current fiscal year.

DAQO New Energy declared that its board has initiated a stock repurchase program on Tuesday, August 26th that permits the company to buyback $0.00 in shares. This buyback authorization permits the semiconductor company to reacquire shares of its stock through open market purchases. Stock buyback programs are generally an indication that the company’s board believes its shares are undervalued.

Institutional Investors Weigh In On DAQO New Energy

Several institutional investors and hedge funds have recently made changes to their positions in DQ. Quarry LP bought a new stake in DAQO New Energy during the third quarter worth $26,000. Caitong International Asset Management Co. Ltd raised its stake in shares of DAQO New Energy by 86,700.0% during the 1st quarter. Caitong International Asset Management Co. Ltd now owns 1,736 shares of the semiconductor company’s stock worth $31,000 after purchasing an additional 1,734 shares during the period. Headlands Technologies LLC purchased a new position in shares of DAQO New Energy in the 2nd quarter worth about $29,000. Pinpoint Asset Management Singapore Pte. Ltd. grew its position in DAQO New Energy by 777.7% during the third quarter. Pinpoint Asset Management Singapore Pte. Ltd. now owns 2,633 shares of the semiconductor company’s stock valued at $74,000 after buying an additional 2,333 shares during the period. Finally, Brooklyn Investment Group grew its position in DAQO New Energy by 17,302.3% during the third quarter. Brooklyn Investment Group now owns 7,657 shares of the semiconductor company’s stock valued at $215,000 after buying an additional 7,613 shares during the period. Institutional investors own 47.22% of the company’s stock.

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.