GigaCloud Technology (NASDAQ:GCT) Hits New 1-Year Low on Disappointing Earnings

Shares of GigaCloud Technology Inc. (NASDAQ:GCT) reached a new 52-week low during mid-day trading on Tuesday following a dissappointing earnings announcement. The company traded as low as $13.60 and last traded at $15.54, with a volume of 855087 shares trading hands. The stock had previously closed at $16.01.

The company reported $0.76 earnings per share for the quarter, missing analysts’ consensus estimates of $0.90 by ($0.14). GigaCloud Technology had a return on equity of 40.32% and a net margin of 11.75%. The company had revenue of $295.78 million for the quarter, compared to analysts’ expectations of $290.00 million. During the same quarter in the prior year, the company earned $0.87 EPS.

Wall Street Analysts Forecast Growth

Separately, Roth Mkm cut shares of GigaCloud Technology from a “buy” rating to a “neutral” rating and lowered their price target for the company from $32.00 to $15.00 in a report on Tuesday.

Insider Activity at GigaCloud Technology

In related news, insider Marshall Bernes bought 5,000 shares of the company’s stock in a transaction on Friday, December 27th. The shares were bought at an average price of $17.50 per share, with a total value of $87,500.00. Following the transaction, the insider now owns 45,000 shares in the company, valued at approximately $787,500. This trade represents a 12.50 % increase in their ownership of the stock. The acquisition was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through this hyperlink. Also, major shareholder Frank Hurst Lin sold 2,663,076 shares of the firm’s stock in a transaction on Friday, December 6th. The stock was sold at an average price of $21.80, for a total transaction of $58,055,056.80. Following the completion of the transaction, the insider now directly owns 1,406,813 shares of the company’s stock, valued at approximately $30,668,523.40. This represents a 65.43 % decrease in their position. The disclosure for this sale can be found here. Insiders have sold 2,811,979 shares of company stock valued at $61,233,745 in the last ninety days. Corporate insiders own 43.00% of the company’s stock.

Institutional Trading of GigaCloud Technology

Several large investors have recently made changes to their positions in GCT. International Assets Investment Management LLC purchased a new position in shares of GigaCloud Technology in the 3rd quarter valued at about $1,083,000. Segall Bryant & Hamill LLC purchased a new stake in shares of GigaCloud Technology in the third quarter valued at approximately $1,556,000. Principal Financial Group Inc. acquired a new position in shares of GigaCloud Technology during the 3rd quarter worth approximately $1,442,000. Charles Schwab Investment Management Inc. raised its stake in shares of GigaCloud Technology by 279.5% during the 3rd quarter. Charles Schwab Investment Management Inc. now owns 214,569 shares of the company’s stock worth $4,931,000 after buying an additional 158,033 shares during the period. Finally, Lake Hills Wealth Management LLC purchased a new position in shares of GigaCloud Technology during the 4th quarter valued at approximately $332,000. 34.94% of the stock is owned by hedge funds and other institutional investors.

GigaCloud Technology Stock Performance

The stock has a market cap of $636.83 million, a price-to-earnings ratio of 5.11 and a beta of 1.94. The business’s 50 day moving average is $19.52 and its 200-day moving average is $21.32.

GigaCloud Technology Company Profile

GigaCloud Technology Inc provides end-to-end B2B ecommerce solutions for large parcel merchandise in the United States and internationally. The company offers GigaCloud Marketplace integrates product discovery to payments to logistics tools into one easy-to-use platform. Its marketplace connects manufacturers primarily in Asia with resellers in the United States, Asia, and Europe to execute cross-border transactions across furniture, home appliance, fitness equipment, and other large parcel categories.