iQIYI (NASDAQ:IQ) Shares Down 4.6% – Time to Sell?

iQIYI, Inc. (NASDAQ:IQ) shares dropped 4.6% during mid-day trading on Friday . The stock traded as low as $2.48 and last traded at $2.49. Approximately 7,523,507 shares were traded during trading, a decline of 34% from the average daily volume of 11,467,938 shares. The stock had previously closed at $2.61.

Analyst Ratings Changes

A number of analysts recently commented on the stock. HSBC cut shares of iQIYI from a “hold” rating to a “reduce” rating and lowered their target price for the stock from $4.70 to $3.00 in a research note on Tuesday, July 23rd. JPMorgan Chase & Co. cut their target price on iQIYI from $5.00 to $3.00 and set a “neutral” rating on the stock in a research report on Tuesday, July 23rd. Benchmark cut iQIYI from a “buy” rating to a “hold” rating in a research report on Friday, August 23rd. Nomura Securities upgraded iQIYI to a “hold” rating in a research note on Monday, August 26th. Finally, The Goldman Sachs Group cut iQIYI from a “buy” rating to a “neutral” rating and set a $2.80 price objective for the company. in a research note on Tuesday, August 27th. One equities research analyst has rated the stock with a sell rating and four have assigned a hold rating to the company’s stock. According to MarketBeat, the company currently has a consensus rating of “Hold” and an average price target of $3.45.

iQIYI Price Performance

The firm has a 50-day simple moving average of $2.42 and a two-hundred day simple moving average of $3.48. The company has a market capitalization of $2.36 billion, a price-to-earnings ratio of 10.25, a P/E/G ratio of 0.71 and a beta of 0.08. The company has a current ratio of 0.53, a quick ratio of 0.53 and a debt-to-equity ratio of 0.67.

iQIYI (NASDAQ:IQ) last announced its quarterly earnings results on Thursday, August 22nd. The company reported $0.01 earnings per share for the quarter, missing the consensus estimate of $0.06 by ($0.05). iQIYI had a net margin of 5.37% and a return on equity of 14.57%. The company had revenue of $1.03 billion for the quarter, compared to analysts’ expectations of $1.02 billion. During the same quarter in the prior year, the business posted $0.05 earnings per share. As a group, analysts predict that iQIYI, Inc. will post 0.16 earnings per share for the current fiscal year.

Institutional Inflows and Outflows

Large investors have recently modified their holdings of the company. Skandinaviska Enskilda Banken AB publ acquired a new position in shares of iQIYI during the 2nd quarter worth approximately $31,000. Ground Swell Capital LLC purchased a new stake in iQIYI in the 3rd quarter worth $32,000. Seven Eight Capital LP acquired a new position in iQIYI during the second quarter worth $42,000. Vanguard Personalized Indexing Management LLC purchased a new position in iQIYI during the second quarter valued at $46,000. Finally, Sumitomo Mitsui DS Asset Management Company Ltd grew its position in shares of iQIYI by 59.9% in the second quarter. Sumitomo Mitsui DS Asset Management Company Ltd now owns 21,954 shares of the company’s stock valued at $81,000 after purchasing an additional 8,225 shares during the period. Institutional investors and hedge funds own 52.69% of the company’s stock.

iQIYI Company Profile

iQIYI, Inc, together with its subsidiaries, provides online entertainment video services in the People's Republic of China. It offers various products and services, including online video, online games, online literature, animations, and other products. The company operates a platform that provides a collection of internet video content, such as professionally produced content licensed from professional content providers and self-produced content.