VNET Group (NASDAQ:VNET) Trading Up 7.5% – Here’s Why

VNET Group, Inc. – Unsponsored ADR (NASDAQ:VNET) shares were up 7.5% during mid-day trading on Friday . The stock traded as high as $6.48 and last traded at $6.5450. 2,222,152 shares traded hands during trading, a decline of 65% from the average session volume of 6,299,037 shares. The stock had previously closed at $6.09.

Wall Street Analyst Weigh In

A number of analysts have issued reports on VNET shares. Zacks Research upgraded shares of VNET Group from a “strong sell” rating to a “hold” rating in a research note on Wednesday, May 27th. Morgan Stanley reiterated an “overweight” rating and set a $14.00 target price on shares of VNET Group in a report on Wednesday, August 19th. Jefferies Financial Group restated a “buy” rating and issued a $24.79 price target on shares of VNET Group in a research note on Tuesday, May 26th. Wall Street Zen lowered VNET Group from a “hold” rating to a “sell” rating in a report on Saturday, June 27th. Finally, Deutsche Bank Aktiengesellschaft assumed coverage on VNET Group in a research report on Tuesday, July 7th. They issued a “buy” rating and a $12.50 price target on the stock. Four equities research analysts have rated the stock with a Buy rating, one has assigned a Hold rating and one has given a Sell rating to the stock. Based on data from MarketBeat.com, the company has a consensus rating of “Moderate Buy” and a consensus price target of $16.90.

VNET Group Stock Up 7.5%

The stock has a market capitalization of $1.77 billion, a price-to-earnings ratio of -4.60 and a beta of 0.27. The company has a debt-to-equity ratio of 4.35, a quick ratio of 0.97 and a current ratio of 0.97. The firm’s fifty day simple moving average is $6.96 and its 200 day simple moving average is $8.36.

VNET Group (NASDAQ:VNET) last posted its quarterly earnings data on Wednesday, August 19th. The information technology services provider reported ($0.06) earnings per share (EPS) for the quarter, missing analysts’ consensus estimates of ($0.02) by ($0.04). VNET Group had a negative return on equity of 36.25% and a negative net margin of 22.29%.The firm had revenue of $409.00 million for the quarter, compared to the consensus estimate of $401.77 million. On average, sell-side analysts forecast that VNET Group, Inc. – Unsponsored ADR will post -0.27 earnings per share for the current year.

Institutional Inflows and Outflows

Several hedge funds and other institutional investors have recently made changes to their positions in VNET. Triata Capital Ltd grew its position in shares of VNET Group by 4.6% in the fourth quarter. Triata Capital Ltd now owns 12,498,810 shares of the information technology services provider’s stock valued at $105,740,000 after purchasing an additional 550,841 shares during the last quarter. Norges Bank acquired a new stake in VNET Group during the 4th quarter worth approximately $65,650,000. Infini Capital Management Ltd acquired a new stake in VNET Group during the 2nd quarter worth approximately $38,883,000. Carmignac Gestion boosted its stake in VNET Group by 1,375.1% in the 2nd quarter. Carmignac Gestion now owns 4,760,599 shares of the information technology services provider’s stock valued at $38,123,000 after purchasing an additional 4,437,879 shares during the period. Finally, Temasek Holdings Private Ltd boosted its stake in VNET Group by 988.7% in the 4th quarter. Temasek Holdings Private Ltd now owns 3,253,150 shares of the information technology services provider’s stock valued at $27,522,000 after purchasing an additional 2,954,350 shares during the period. 72.83% of the stock is currently owned by institutional investors.

VNET Group Company Profile

VNET Group, Inc (NASDAQ:VNET), formerly known as 21Vianet Group, is a China-based provider of data center and information technology infrastructure services. The company operates carrier-neutral data centers that support enterprise customers, cloud service providers, internet companies, financial institutions and other organizations requiring secure, reliable computing and network capacity.

Its services include data center hosting and colocation, managed network services, cloud computing infrastructure, internet connectivity, content delivery and related information technology solutions.