NetEase (NASDAQ:NTES) Shares Gap Down – Here’s Why

NetEase, Inc. (NASDAQ:NTES)’s share price gapped down before the market opened on Thursday . The stock had previously closed at $103.92, but opened at $100.15. NetEase shares last traded at $99.61, with a volume of 341,916 shares traded.

Wall Street Analysts Forecast Growth

A number of brokerages have weighed in on NTES. Morgan Stanley raised NetEase from an “equal weight” rating to an “overweight” rating and boosted their price target for the stock from $90.00 to $108.00 in a research report on Wednesday, January 8th. StockNews.com lowered NetEase from a “strong-buy” rating to a “buy” rating in a report on Friday, December 6th. Citigroup increased their price target on NetEase from $108.00 to $115.00 and gave the company a “buy” rating in a report on Friday, November 15th. Benchmark reduced their price objective on shares of NetEase from $120.00 to $105.00 and set a “buy” rating for the company in a research note on Friday, November 15th. Finally, Bank of America raised their target price on shares of NetEase from $120.00 to $122.00 and gave the company a “buy” rating in a research note on Wednesday. One equities research analyst has rated the stock with a hold rating and seven have given a buy rating to the stock. According to data from MarketBeat.com, NetEase currently has an average rating of “Moderate Buy” and a consensus price target of $108.71.

NetEase Stock Down 4.4 %

The firm has a market cap of $63.81 billion, a P/E ratio of 16.79, a price-to-earnings-growth ratio of 3.08 and a beta of 0.57. The stock’s 50-day moving average is $89.12 and its 200-day moving average is $87.72.

NetEase Dividend Announcement

The business also recently disclosed a quarterly dividend, which was paid on Friday, December 13th. Stockholders of record on Friday, November 29th were issued a dividend of $0.435 per share. The ex-dividend date of this dividend was Friday, November 29th. This represents a $1.74 annualized dividend and a dividend yield of 1.75%. NetEase’s payout ratio is 29.22%.

Institutional Investors Weigh In On NetEase

Several hedge funds have recently made changes to their positions in NTES. SYSTM Wealth Solutions LLC raised its holdings in NetEase by 55.5% in the 2nd quarter. SYSTM Wealth Solutions LLC now owns 328 shares of the technology company’s stock valued at $31,000 after acquiring an additional 117 shares in the last quarter. Brooklyn Investment Group bought a new stake in shares of NetEase during the fourth quarter valued at approximately $34,000. Ariadne Wealth Management LP acquired a new position in shares of NetEase in the second quarter valued at $35,000. Highline Wealth Partners LLC acquired a new position in shares of NetEase in the third quarter valued at $45,000. Finally, RPg Family Wealth Advisory LLC bought a new position in NetEase in the third quarter worth $70,000. Institutional investors own 11.07% of the company’s stock.

About NetEase

NetEase, Inc engages in online games, music streaming, online intelligent learning services, and internet content services businesses in China and internationally . The company operates through Games and Related Value-Added Services, Youdao, Cloud Music, and Innovative Businesses and Others segments.