GDS (NASDAQ:GDS) Stock Price Up 10% – Should You Buy?

GDS Holdings Limited (NASDAQ:GDS)’s stock price rose 10% on Friday . The stock traded as high as $27.94 and last traded at $28.34. 437,365 shares were traded during trading, a decline of 87% from the average daily volume of 3,376,360 shares. The stock had previously closed at $25.76.

Wall Street Analysts Forecast Growth

A number of brokerages have commented on GDS. Citigroup reaffirmed an “outperform” rating on shares of GDS in a report on Thursday, March 20th. Jefferies Financial Group raised shares of GDS from a “hold” rating to a “buy” rating and set a $45.00 price target on the stock in a research report on Tuesday, March 18th. Citizens Jmp raised shares of GDS to a “strong-buy” rating in a report on Monday, January 27th. Royal Bank of Canada cut shares of GDS from an “outperform” rating to a “sector perform” rating and raised their target price for the stock from $26.00 to $37.00 in a report on Tuesday, February 25th. Finally, Daiwa Capital Markets upgraded GDS from a “neutral” rating to a “buy” rating in a research note on Tuesday, February 11th. One equities research analyst has rated the stock with a sell rating, one has given a hold rating, five have given a buy rating and three have issued a strong buy rating to the company’s stock. Based on data from MarketBeat, GDS has an average rating of “Buy” and an average price target of $39.48.

GDS Stock Performance

The stock’s fifty day moving average price is $27.42 and its two-hundred day moving average price is $25.29. The company has a market cap of $5.35 billion, a P/E ratio of -9.21 and a beta of 0.28. The company has a debt-to-equity ratio of 2.25, a quick ratio of 1.19 and a current ratio of 1.19.

GDS (NASDAQ:GDS) last issued its earnings results on Wednesday, March 19th. The company reported ($0.10) earnings per share for the quarter, beating analysts’ consensus estimates of ($0.27) by $0.17. GDS had a negative return on equity of 8.22% and a negative net margin of 35.97%. The firm had revenue of $425.13 million for the quarter, compared to the consensus estimate of $3.11 billion. During the same quarter last year, the business posted ($2.16) EPS. The company’s revenue was up 9.1% compared to the same quarter last year. As a group, equities analysts predict that GDS Holdings Limited will post -0.89 earnings per share for the current year.

Institutional Inflows and Outflows

Several institutional investors have recently bought and sold shares of GDS. Massachusetts Financial Services Co. MA increased its position in GDS by 0.9% during the 1st quarter. Massachusetts Financial Services Co. MA now owns 1,177,503 shares of the company’s stock worth $29,826,000 after purchasing an additional 10,838 shares in the last quarter. Infini Capital Management Ltd acquired a new position in shares of GDS during the first quarter worth $851,000. Yong Rong HK Asset Management Ltd bought a new position in shares of GDS in the 1st quarter valued at $887,000. Mirae Asset Global Investments Co. Ltd. boosted its holdings in shares of GDS by 1,678.2% during the 1st quarter. Mirae Asset Global Investments Co. Ltd. now owns 65,900 shares of the company’s stock valued at $1,663,000 after acquiring an additional 62,194 shares in the last quarter. Finally, Perpetual Ltd bought a new stake in GDS during the 1st quarter worth $1,528,000. Institutional investors and hedge funds own 33.71% of the company’s stock.

GDS Company Profile

GDS Holdings Limited, together with its subsidiaries, develops and operates data centers in the People's Republic of China. The company provides colocation services comprising critical facilities space, customer-available power, racks, and cooling; managed hosting services, including business continuity and disaster recovery, network management, data storage, system security, operating system, database, and server middleware services; managed cloud services; and consulting services.