GigaCloud Technology (NASDAQ:GCT) Stock Price Down 6% – Should You Sell?

Shares of GigaCloud Technology Inc. (NASDAQ:GCT) fell 6% during mid-day trading on Tuesday . The company traded as low as $39.34 and last traded at $39.5250. 390,410 shares were traded during mid-day trading, a decline of 27% from the average session volume of 535,294 shares. The stock had previously closed at $42.04.

Analyst Upgrades and Downgrades

Several equities research analysts recently issued reports on the stock. Wall Street Zen raised shares of GigaCloud Technology from a “hold” rating to a “buy” rating in a research note on Saturday, December 13th. Zacks Research lowered GigaCloud Technology from a “strong-buy” rating to a “hold” rating in a research report on Friday, January 16th. Finally, Weiss Ratings cut shares of GigaCloud Technology from a “buy (b-)” rating to a “hold (c+)” rating in a report on Monday, January 12th. One analyst has rated the stock with a Buy rating and three have assigned a Hold rating to the stock. Based on data from MarketBeat, GigaCloud Technology currently has a consensus rating of “Hold” and an average target price of $24.00.

GigaCloud Technology Price Performance

The stock has a market capitalization of $1.42 billion, a P/E ratio of 11.45 and a beta of 2.28. The stock’s fifty day moving average is $39.26 and its two-hundred day moving average is $31.58.

GigaCloud Technology (NASDAQ:GCT) last released its quarterly earnings data on Thursday, November 6th. The company reported $0.99 earnings per share for the quarter, topping the consensus estimate of $0.65 by $0.34. GigaCloud Technology had a return on equity of 30.43% and a net margin of 10.62%.The business had revenue of $332.64 million during the quarter, compared to analyst estimates of $300.96 million. During the same period last year, the company posted $1.15 EPS. The company’s revenue was up 9.7% compared to the same quarter last year. Analysts expect that GigaCloud Technology Inc. will post 3.1 EPS for the current year.

Insider Activity at GigaCloud Technology

In related news, COO Xinyan Hao sold 800 shares of the firm’s stock in a transaction that occurred on Friday, December 5th. The shares were sold at an average price of $40.04, for a total value of $32,032.00. Following the completion of the transaction, the chief operating officer owned 357,486 shares of the company’s stock, valued at approximately $14,313,739.44. This trade represents a 0.22% decrease in their position. The transaction was disclosed in a document filed with the SEC, which is accessible through this hyperlink. Also, CEO Lei Wu sold 20,000 shares of GigaCloud Technology stock in a transaction on Thursday, January 22nd. The shares were sold at an average price of $40.78, for a total value of $815,600.00. Following the transaction, the chief executive officer owned 678,090 shares in the company, valued at $27,652,510.20. This represents a 2.86% decrease in their position. The SEC filing for this sale provides additional information. In the last 90 days, insiders sold 468,168 shares of company stock valued at $16,731,529. 24.71% of the stock is owned by insiders.

Institutional Investors Weigh In On GigaCloud Technology

A number of institutional investors have recently modified their holdings of GCT. Jones Financial Companies Lllp boosted its position in GigaCloud Technology by 184.6% during the third quarter. Jones Financial Companies Lllp now owns 908 shares of the company’s stock valued at $27,000 after purchasing an additional 589 shares during the last quarter. Quarry LP acquired a new position in GigaCloud Technology during the third quarter worth $29,000. Larson Financial Group LLC bought a new position in GigaCloud Technology during the third quarter valued at about $30,000. Caitong International Asset Management Co. Ltd acquired a new stake in shares of GigaCloud Technology in the third quarter worth about $30,000. Finally, Ameritas Advisory Services LLC bought a new position in shares of GigaCloud Technology in the 2nd quarter valued at approximately $35,000. Institutional investors and hedge funds own 34.94% of the company’s stock.

About GigaCloud Technology

GigaCloud Technology Inc (NASDAQ:GCT) is a China-based provider of software-as-a-service (SaaS) and cloud computing solutions tailored for cross-border e-commerce. The company’s core offering, its Supply Chain Embedded E-commerce as a Service (SCEaaS) platform, integrates procurement, order management, warehousing, logistics and payment services into a unified cloud-based system. This end-to-end digital supply chain solution is designed to help small and medium-sized Chinese exporters efficiently connect with global buyers without the need to build and maintain their own infrastructure.

Through its modular, subscription-based SaaS model, GigaCloud enables merchants to scale operations on demand and minimize upfront capital expenditures.