GDS (NASDAQ:GDS) Shares Gap Down – Here’s What Happened

Shares of GDS Holdings Limited (NASDAQ:GDS) gapped down before the market opened on Tuesday . The stock had previously closed at $28.41, but opened at $27.12. GDS shares last traded at $27.21, with a volume of 553,111 shares changing hands.

Wall Street Analyst Weigh In

A number of research firms recently weighed in on GDS. StockNews.com lowered GDS from a “hold” rating to a “sell” rating in a research report on Friday, February 28th. Royal Bank of Canada downgraded GDS from an “outperform” rating to a “sector perform” rating and raised their price target for the company from $26.00 to $37.00 in a report on Tuesday, February 25th. Daiwa Capital Markets raised GDS from a “neutral” rating to a “buy” rating in a research report on Tuesday, February 11th. JMP Securities started coverage on shares of GDS in a research report on Monday, January 27th. They set an “outperform” rating and a $35.00 price objective on the stock. Finally, Raymond James raised shares of GDS from an “outperform” rating to a “strong-buy” rating and set a $53.00 target price for the company in a report on Thursday, March 20th. One analyst has rated the stock with a sell rating, two have assigned a hold rating, four have given a buy rating and three have given a strong buy rating to the company’s stock. According to data from MarketBeat.com, the stock currently has an average rating of “Moderate Buy” and an average target price of $33.23.

GDS Price Performance

The stock has a market capitalization of $5.14 billion, a P/E ratio of -8.84 and a beta of 0.07. The company has a debt-to-equity ratio of 2.25, a quick ratio of 1.19 and a current ratio of 1.19. The firm has a fifty day moving average price of $31.47 and a two-hundred day moving average price of $24.70.

GDS (NASDAQ:GDS) last posted its quarterly earnings data on Wednesday, March 19th. The company reported ($0.10) EPS for the quarter, topping the consensus estimate 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 during the quarter, compared to analyst estimates of $3.11 billion. During the same period in the prior year, the business posted ($2.16) EPS. GDS’s revenue was up 9.1% on a year-over-year basis. As a group, analysts expect that GDS Holdings Limited will post -0.89 EPS for the current fiscal year.

Hedge Funds Weigh In On GDS

Hedge funds have recently modified their holdings of the company. Public Employees Retirement System of Ohio purchased a new position in shares of GDS during the 3rd quarter valued at $64,000. PNC Financial Services Group Inc. lifted its position in shares of GDS by 26.8% in the fourth quarter. PNC Financial Services Group Inc. now owns 3,177 shares of the company’s stock valued at $75,000 after acquiring an additional 672 shares in the last quarter. Wells Fargo & Company MN boosted its stake in shares of GDS by 1,904.2% in the fourth quarter. Wells Fargo & Company MN now owns 3,788 shares of the company’s stock worth $90,000 after acquiring an additional 3,599 shares during the period. Blue Trust Inc. grew its position in shares of GDS by 121.9% during the fourth quarter. Blue Trust Inc. now owns 5,557 shares of the company’s stock worth $132,000 after purchasing an additional 3,053 shares in the last quarter. Finally, Brookfield Corp ON purchased a new position in GDS in the 3rd quarter worth approximately $171,000. 33.71% of the stock is currently owned by institutional investors.

About GDS

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.