Daqo New Energy Corp. (NYSE:DQ) Receives Average Rating of “Moderate Buy” from Analysts

Daqo New Energy Corp. (NYSE:DQ) has received an average rating of “Moderate Buy” from the eight brokerages that are covering the stock, MarketBeat Ratings reports. Three equities research analysts have rated the stock with a hold rating, three have assigned a buy rating and two have issued a strong buy rating on the company. The average 12 month price objective among brokers that have updated their coverage on the stock in the last year is $22.26.

Several equities research analysts recently commented on the stock. Daiwa Capital Markets reaffirmed a “hold” rating and issued a $25.00 price objective (up from $18.00) on shares of Daqo New Energy in a research report on Wednesday, October 9th. HSBC raised shares of Daqo New Energy from a “hold” rating to a “buy” rating in a research report on Wednesday, October 2nd. Nomura Securities raised shares of Daqo New Energy to a “strong-buy” rating in a research report on Wednesday, August 28th. StockNews.com raised shares of Daqo New Energy to a “sell” rating in a research report on Monday, September 23rd. Finally, Daiwa America raised shares of Daqo New Energy to a “hold” rating in a research report on Wednesday, October 9th.

Daqo New Energy Stock Up 3.7 %

Shares of DQ stock opened at $19.70 on Tuesday. Daqo New Energy has a 12-month low of $13.62 and a 12-month high of $30.03. The firm has a market capitalization of $1.30 billion, a price-to-earnings ratio of 9.25 and a beta of 0.32. The firm has a fifty day moving average of $17.28 and a 200-day moving average of $18.58.

Daqo New Energy (NYSE:DQ) last posted its quarterly earnings data on Monday, August 26th. The semiconductor company reported ($1.81) EPS for the quarter, missing the consensus estimate of ($0.56) by ($1.25). The company had revenue of $219.91 million during the quarter, compared to the consensus estimate of $406.50 million. Daqo New Energy had a negative net margin of 4.11% and a negative return on equity of 1.04%. During the same period in the prior year, the firm posted $1.34 earnings per share. Research analysts expect that Daqo New Energy will post -3.35 earnings per share for the current year.

Daqo New Energy announced that its Board of Directors has approved a stock repurchase program on Monday, July 22nd that allows the company to buyback $100.00 million in outstanding shares. This buyback authorization allows the semiconductor company to repurchase up to 8.6% of its shares through open market purchases. Shares buyback programs are generally a sign that the company’s board of directors believes its stock is undervalued.

Institutional Investors Weigh In On Daqo New Energy

Several institutional investors and hedge funds have recently added to or reduced their stakes in the business. Mackenzie Financial Corp raised its holdings in shares of Daqo New Energy by 6.4% in the 2nd quarter. Mackenzie Financial Corp now owns 2,496,997 shares of the semiconductor company’s stock valued at $36,456,000 after purchasing an additional 149,610 shares during the period. Ariose Capital Management Ltd raised its holdings in shares of Daqo New Energy by 23.9% in the 2nd quarter. Ariose Capital Management Ltd now owns 1,181,124 shares of the semiconductor company’s stock valued at $17,244,000 after purchasing an additional 228,200 shares during the period. Sylebra Capital LLC raised its holdings in shares of Daqo New Energy by 103.9% in the 2nd quarter. Sylebra Capital LLC now owns 943,692 shares of the semiconductor company’s stock valued at $13,778,000 after purchasing an additional 480,980 shares during the period. Point72 Asset Management L.P. bought a new stake in shares of Daqo New Energy in the 2nd quarter valued at about $11,080,000. Finally, BNP Paribas Financial Markets raised its holdings in shares of Daqo New Energy by 142.1% in the 1st quarter. BNP Paribas Financial Markets now owns 696,865 shares of the semiconductor company’s stock valued at $19,617,000 after purchasing an additional 409,057 shares during the period. 47.22% of the stock is owned by institutional investors.

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.