Gaotu Techedu (NYSE:GOTU) Shares Up 8.4% – Here’s Why

Gaotu Techedu Inc. (NYSE:GOTU)’s stock price was up 8.4% during mid-day trading on Wednesday . The stock traded as high as $2.73 and last traded at $2.71. Approximately 574,523 shares changed hands during trading, a decline of 83% from the average daily volume of 3,346,594 shares. The stock had previously closed at $2.50.

Wall Street Analyst Weigh In

Separately, Citigroup cut Gaotu Techedu from a “buy” rating to a “sell” rating in a research report on Tuesday, August 27th.

Gaotu Techedu Stock Up 14.8 %

The business’s 50-day moving average price is $3.15 and its 200-day moving average price is $4.26.

Gaotu Techedu (NYSE:GOTU) last issued its earnings results on Tuesday, August 27th. The company reported ($0.23) earnings per share (EPS) for the quarter. Gaotu Techedu had a negative net margin of 17.63% and a negative return on equity of 20.26%. The company had revenue of $138.95 million for the quarter.

Institutional Inflows and Outflows

A number of institutional investors and hedge funds have recently bought and sold shares of GOTU. Millennium Management LLC lifted its holdings in shares of Gaotu Techedu by 1,233.8% during the 2nd quarter. Millennium Management LLC now owns 579,011 shares of the company’s stock valued at $2,837,000 after buying an additional 535,601 shares during the last quarter. BRIGHT VALLEY CAPITAL Ltd acquired a new stake in Gaotu Techedu in the second quarter valued at approximately $2,450,000. National Bank of Canada FI bought a new stake in Gaotu Techedu in the second quarter worth approximately $2,135,000. Jupiter Asset Management Ltd. acquired a new position in shares of Gaotu Techedu during the 2nd quarter worth $693,000. Finally, Headlands Technologies LLC raised its holdings in shares of Gaotu Techedu by 1,362.7% during the 2nd quarter. Headlands Technologies LLC now owns 141,718 shares of the company’s stock valued at $694,000 after purchasing an additional 132,029 shares in the last quarter. Hedge funds and other institutional investors own 48.42% of the company’s stock.

About Gaotu Techedu

Gaotu Techedu Inc, a technology-driven education company, provides learning services, educational content, and digitalized learning products in the People's Republic of China. The company offers traditional online academic subject tutoring services that covers academic subjects, such as mathematics, English, Chinese, physics, chemistry, biology, history, geography, and political science for students; non-academic tutoring services; personal interest courses comprising chess learning, family relationships and education, humanities, and science courses; and professional courses primarily for college students and adults preparing for professional qualification exams, such as teacher's qualification, Chartered Financial Analyst designation, Certified Public Accountant designation, and other exams.