GDS (NASDAQ:GDS) Trading Up 7.2% – Here’s Why

GDS Holdings (NASDAQ:GDS)’s share price was up 7.2% on Thursday . The company traded as high as $35.00 and last traded at $35.1080. Approximately 905,416 shares traded hands during trading, a decline of 59% from the average daily volume of 2,188,406 shares. The stock had previously closed at $32.74.

Analyst Ratings Changes

GDS has been the topic of several research reports. Wall Street Zen raised GDS from a “sell” rating to a “hold” rating in a research report on Saturday, May 2nd. Zacks Research downgraded GDS from a “strong-buy” rating to a “hold” rating in a research report on Friday, July 24th. Piper Sandler set a $36.00 target price on GDS in a report on Thursday, May 21st. TD Cowen reduced their price target on GDS from $37.00 to $36.00 and set a “buy” rating on the stock in a research report on Thursday, May 21st. Finally, Weiss Ratings upgraded GDS from a “hold (c-)” rating to a “hold (c)” rating in a report on Monday, May 18th. One investment analyst has rated the stock with a Strong Buy rating, five have issued a Buy rating and two have issued a Hold rating to the stock. Based on data from MarketBeat, the stock currently has a consensus rating of “Moderate Buy” and a consensus price target of $48.33.

GDS Price Performance

The company has a debt-to-equity ratio of 1.25, a quick ratio of 1.87 and a current ratio of 1.87. The business’s fifty day simple moving average is $32.14 and its 200 day simple moving average is $38.70. The stock has a market cap of $6.92 billion, a price-to-earnings ratio of 22.02 and a beta of 0.43.

GDS (NASDAQ:GDS) last announced its earnings results on Friday, August 14th. The company reported $0.52 earnings per share for the quarter, beating the consensus estimate of $0.01 by $0.51. GDS had a return on equity of 15.62% and a net margin of 23.83%.The company had revenue of $475.06 million during the quarter, compared to the consensus estimate of $454.25 million. Research analysts predict that GDS Holdings will post 2.65 EPS for the current fiscal year.

Insider Transactions at GDS

In other GDS news, Director Judy Qing Ye sold 37,394 shares of the firm’s stock in a transaction that occurred on Tuesday, June 2nd. The stock was sold at an average price of $36.21, for a total transaction of $1,354,036.74. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through the SEC website. Also, VP Yixin Qian sold 10,000 shares of GDS stock in a transaction that occurred on Wednesday, June 10th. The stock was sold at an average price of $35.25, for a total value of $352,500.00. Following the sale, the vice president owned 66,865 shares in the company, valued at $2,356,991.25. This represents a 13.01% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. Corporate insiders own 7.99% of the company’s stock.

Institutional Trading of GDS

A number of hedge funds and other institutional investors have recently made changes to their positions in the stock. Advisors Asset Management Inc. acquired a new stake in GDS in the first quarter valued at $25,000. NewEdge Advisors LLC bought a new position in GDS during the 1st quarter valued at $25,000. Leonteq Securities AG acquired a new position in GDS during the 4th quarter worth $34,000. EverSource Wealth Advisors LLC increased its position in shares of GDS by 41.6% in the 2nd quarter. EverSource Wealth Advisors LLC now owns 1,806 shares of the company’s stock worth $55,000 after purchasing an additional 531 shares during the last quarter. Finally, Northwestern Mutual Wealth Management Co. raised its stake in shares of GDS by 113.0% in the 2nd quarter. Northwestern Mutual Wealth Management Co. now owns 1,836 shares of the company’s stock valued at $56,000 after purchasing an additional 974 shares in the last quarter. Institutional investors own 33.71% of the company’s stock.

About GDS

GDS Holdings Limited, founded in 2001 and headquartered in Shanghai, is a leading network-neutral data center services provider in China. The company operates a portfolio of state-of-the-art data center facilities designed to support the mission-critical IT infrastructure of cloud service providers, internet enterprises, financial institutions, and government entities. GDS was among the first Chinese providers to offer high-density colocation solutions, catering to customers with demanding computing and storage requirements.

GDS specializes in delivering scalable colocation, cross-connect, and interconnection services within its facilities, enabling clients to establish high-speed, low-latency connections to major cloud platforms and internet exchange points.