GDS (NASDAQ:GDS) Sees Large Volume Increase After Analyst Upgrade

GDS Holdings Limited (NASDAQ:GDS) saw strong trading volume on Monday after Royal Bank of Canada raised their price target on the stock from $14.00 to $26.00. Royal Bank of Canada currently has an outperform rating on the stock. 1,267,234 shares changed hands during trading, a decline of 22% from the previous session’s volume of 1,615,138 shares.The stock last traded at $22.19 and had previously closed at $21.48.

Other research analysts also recently issued reports about the stock. Bank of America increased their price objective on shares of GDS from $12.40 to $22.40 and gave the company a “buy” rating in a research note on Tuesday, August 27th. Nomura Securities upgraded shares of GDS to a “strong-buy” rating in a research note on Monday, August 26th. One research analyst has rated the stock with a sell rating, one has issued a hold rating, three have issued a buy rating and one has issued a strong buy rating to the company. According to MarketBeat, the stock presently has an average rating of “Moderate Buy” and an average price target of $18.29.

Institutional Inflows and Outflows

Hedge funds and other institutional investors have recently made changes to their positions in the company. BNP Paribas Financial Markets boosted its holdings in shares of GDS by 51.0% in the first quarter. BNP Paribas Financial Markets now owns 185,137 shares of the company’s stock worth $1,231,000 after buying an additional 62,521 shares during the period. Swedbank AB purchased a new stake in shares of GDS in the first quarter worth approximately $2,174,000. Wellington Management Group LLP lifted its position in shares of GDS by 258.1% in the fourth quarter. Wellington Management Group LLP now owns 608,625 shares of the company’s stock worth $5,551,000 after purchasing an additional 438,661 shares in the last quarter. Goldman Sachs Group Inc. lifted its position in shares of GDS by 16.7% in the fourth quarter. Goldman Sachs Group Inc. now owns 5,404,486 shares of the company’s stock worth $49,289,000 after purchasing an additional 773,378 shares in the last quarter. Finally, SG Americas Securities LLC purchased a new stake in shares of GDS in the first quarter worth approximately $429,000. 33.71% of the stock is currently owned by institutional investors and hedge funds.

GDS Stock Up 3.4 %

The business’s 50-day moving average price is $17.20 and its 200-day moving average price is $11.84. The company has a quick ratio of 1.39, a current ratio of 1.39 and a debt-to-equity ratio of 2.30. The firm has a market capitalization of $4.23 billion, a PE ratio of -6.92 and a beta of 0.24.

GDS (NASDAQ:GDS) last released its quarterly earnings results on Wednesday, August 21st. The company reported ($0.18) EPS for the quarter, beating analysts’ consensus estimates of ($0.25) by $0.07. GDS had a negative net margin of 39.96% and a negative return on equity of 9.10%. The company had revenue of $388.92 million for the quarter, compared to analyst estimates of $384.14 million. As a group, equities research analysts predict that GDS Holdings Limited will post -1.14 EPS for the current fiscal year.

About GDS

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.