VNET Group (NASDAQ:VNET) Shares Up 5.5% – Should You Buy?

Shares of VNET Group, Inc. – Unsponsored ADR (NASDAQ:VNET) traded up 5.5% during trading on Wednesday . The stock traded as high as $8.17 and last traded at $8.1370. 481,497 shares traded hands during trading, a decline of 93% from the average session volume of 7,143,096 shares. The stock had previously closed at $7.71.

Wall Street Analyst Weigh In

Several research firms have weighed in on VNET. Jefferies Financial Group reiterated a “buy” rating and issued a $24.79 price objective on shares of VNET Group in a research note on Tuesday, May 26th. Deutsche Bank Aktiengesellschaft initiated coverage on shares of VNET Group in a report on Tuesday. They set a “buy” rating and a $12.50 price target on the stock. Bank of America set a $16.30 price objective on VNET Group and gave the stock a “buy” rating in a report on Tuesday, May 26th. Morgan Stanley restated an “overweight” rating and issued a $16.00 target price on shares of VNET Group in a research note on Wednesday, May 27th. Finally, Zacks Research raised VNET Group from a “strong sell” rating to a “hold” rating in a research note on Wednesday, May 27th. Four investment analysts have rated the stock with a Buy rating, one has assigned a Hold rating and one has assigned a Sell rating to the stock. According to MarketBeat, VNET Group currently has an average rating of “Moderate Buy” and a consensus price target of $17.40.

VNET Group Stock Up 6.8%

The firm has a market cap of $2.23 billion, a P/E ratio of -6.01 and a beta of 0.28. The business’s fifty day moving average price is $9.13 and its two-hundred day moving average price is $9.70. The company has a current ratio of 0.99, a quick ratio of 0.99 and a debt-to-equity ratio of 3.99.

VNET Group (NASDAQ:VNET) last issued its quarterly earnings data on Tuesday, May 26th. The information technology services provider reported ($1.20) earnings per share (EPS) for the quarter, missing analysts’ consensus estimates of ($0.03) by ($1.17). VNET Group had a negative return on equity of 31.59% and a negative net margin of 22.01%.The business had revenue of $390.32 million during the quarter, compared to the consensus estimate of $388.47 million. As a group, equities research analysts anticipate that VNET Group, Inc. – Unsponsored ADR will post -0.24 EPS for the current year.

Insider Activity at VNET Group

In related news, Director Sean Shao sold 60,000 shares of the firm’s stock in a transaction that occurred on Monday, June 1st. The stock was sold at an average price of $1.71, for a total value of $102,600.00. Following the transaction, the director directly owned 983,820 shares of the company’s stock, valued at approximately $1,682,332.20. This trade represents a 5.75% decrease in their position. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through this link. Corporate insiders own 12.10% of the company’s stock.

Hedge Funds Weigh In On VNET Group

Several hedge funds and other institutional investors have recently added to or reduced their stakes in the stock. Leonteq Securities AG acquired a new stake in shares of VNET Group in the first quarter worth $25,000. Global Retirement Partners LLC bought a new position in VNET Group in the 4th quarter worth $27,000. EverSource Wealth Advisors LLC raised its holdings in VNET Group by 52.2% in the 2nd quarter. EverSource Wealth Advisors LLC now owns 4,157 shares of the information technology services provider’s stock worth $29,000 after acquiring an additional 1,426 shares during the period. Parallel Advisors LLC lifted its position in VNET Group by 26.8% during the 1st quarter. Parallel Advisors LLC now owns 5,495 shares of the information technology services provider’s stock worth $46,000 after acquiring an additional 1,160 shares during the last quarter. Finally, Allianz SE acquired a new position in VNET Group during the 4th quarter worth $50,000. Institutional investors and hedge funds own 72.83% of the company’s stock.

About VNET Group

VNET Group, Inc (NASDAQ: VNET) is a leading carrier-neutral internet data center (IDC) services provider in China. Established in 1999 and headquartered in Beijing, the company delivers a full spectrum of infrastructure solutions that support the growing digital economy. Its core offerings include data center colocation, managed hosting, network connectivity, and disaster recovery services designed to meet the performance and reliability requirements of enterprise and internet content customers.

The company’s product portfolio spans private cloud, public cloud and hybrid cloud deployments, enabling clients to scale computing resources on demand.