Qfin (NASDAQ:QFIN) Shares Gap Down – Here’s Why

Qfin Holdings Inc. – Sponsored ADR (NASDAQ:QFIN) shares gapped down prior to trading on Wednesday . The stock had previously closed at $8.84, but opened at $8.38. Qfin shares last traded at $8.5050, with a volume of 161,189 shares traded.

Wall Street Analyst Weigh In

QFIN has been the topic of several research analyst reports. Zacks Research cut shares of Qfin from a “hold” rating to a “strong sell” rating in a research note on Friday, August 28th. Bank of America reiterated a “neutral” rating and issued a $15.33 price objective on shares of Qfin in a report on Wednesday, May 27th. Morgan Stanley downgraded shares of Qfin from an “overweight” rating to an “equal weight” rating and set a $13.00 target price for the company. in a research note on Wednesday, August 26th. Citigroup lowered Qfin from a “buy” rating to a “sell” rating and set a $8.00 price target on the stock. in a research report on Wednesday, August 26th. Finally, Weiss Ratings lowered shares of Qfin from a “hold (c-)” rating to a “sell (d+)” rating in a report on Monday, July 13th. One investment analyst has rated the stock with a Buy rating, three have assigned a Hold rating and four have given a Sell rating to the stock. Based on data from MarketBeat.com, the company currently has a consensus rating of “Reduce” and an average price target of $12.29.

Qfin Stock Performance

The company has a quick ratio of 2.17, a current ratio of 2.17 and a debt-to-equity ratio of 0.03. The stock’s fifty day moving average is $12.36 and its two-hundred day moving average is $13.44. The firm has a market capitalization of $1.04 billion, a price-to-earnings ratio of 2.05 and a beta of 0.57.

Qfin (NASDAQ:QFIN) last announced its quarterly earnings results on Friday, August 14th. The company reported $0.55 EPS for the quarter. Qfin had a net margin of 22.23% and a return on equity of 15.23%. The firm had revenue of $524.96 million during the quarter. On average, analysts predict that Qfin Holdings Inc. – Sponsored ADR will post 2.85 earnings per share for the current year.

Qfin Cuts Dividend

The firm also recently declared a dividend, which will be paid on Thursday, October 1st. Shareholders of record on Wednesday, September 9th will be issued a dividend of $0.46 per share. The ex-dividend date of this dividend is Wednesday, September 9th. This represents a yield of 1,079.0%. Qfin’s dividend payout ratio (DPR) is currently 21.63%.

Institutional Investors Weigh In On Qfin

Several hedge funds have recently bought and sold shares of the stock. FountainVest China Capital Partners GP3 Ltd. acquired a new stake in Qfin in the 2nd quarter worth about $95,483,341. Bank of America Corp DE lifted its stake in Qfin by 48.5% during the first quarter. Bank of America Corp DE now owns 1,987,457 shares of the company’s stock worth $25,658,000 after purchasing an additional 649,492 shares during the last quarter. BRIGHT VALLEY CAPITAL Ltd boosted its stake in Qfin by 67.0% in the fourth quarter. BRIGHT VALLEY CAPITAL Ltd now owns 225,500 shares of the company’s stock valued at $4,345,000 after buying an additional 90,500 shares in the last quarter. Renaissance Technologies LLC acquired a new stake in Qfin in the first quarter valued at about $5,032,000. Finally, Arrowstreet Capital Limited Partnership bought a new position in Qfin in the first quarter valued at about $5,612,000. 74.81% of the stock is currently owned by institutional investors and hedge funds.

About Qfin

360 DigiTech, Inc (NASDAQ: QFIN) is a China‐based fintech company that specializes in providing digital lending solutions to underserved consumer and small business markets. Leveraging proprietary credit assessment technologies and big data analytics, the company connects borrowers with a network of financial institutions and investors through its online platform. Its services encompass unsecured consumer loans, installment credit products, and working capital financing for micro and small enterprises.

The company’s flagship platform offers an end‐to‐end digital lending experience, from application and credit evaluation to disbursement and repayment.