GDS Downgraded to 'Sell' by StockNews.com

GDS (NASDAQ:GDS) experienced a shift in its stock rating as StockNews.com recently downgraded it from a "hold" rating to a "sell" rating in a report published on Friday.

This downgrade follows a series of assessments from other equities analysts in the past week. For instance, Royal Bank of Canada revised its view on GDS, lowering their rating from "outperform" to "sector perform." They also raised their price target for GDS from $26.00 to $37.00 in a report released last Tuesday. Additionally, on February 11, Daiwa Capital Markets upgraded GDS from a "neutral" to a "buy" rating. Earlier, on January 27, Citizens JMP upgraded GDS to a "strong-buy" rating.

On February 21, Raymond James increased their price objective on GDS from $25.00 to $53.00, maintaining an "outperform" rating for the stock. Meanwhile, JMP Securities initiated coverage on GDS, assigning an "outperform" rating with a target price set at $35.00.

Overall, the stock has garnered varied opinions: one analyst has suggested a sell rating, three have given it a hold rating, four have issued a buy rating, and two analysts have assigned a strong buy rating. As per MarketBeat data, GDS holds an average rating of "Moderate Buy" alongside an average target price of $33.23.

Stock Performance on Friday

On Friday, GDS shares saw a slight increase of 0.3%, ending the trading day at $38.05. A total of 3,236,634 shares changed hands, which was below its average volume of 3,332,316. GDS holds a debt-to-equity ratio of 2.25, with both its current and quick ratios standing at 1.19. The company has seen a 52-week low of $5.85 and a high of $52.50, giving it a market capitalization of $7.25 billion. The stock currently has a negative price-to-earnings ratio of -12.48, with a fifty-day moving average at $28.10 and a 200-day moving average at $22.45.

Recent Institutional Movements

In terms of institutional investment, several hedge funds have altered their stakes in GDS recently. Notably, Alberta Investment Management Corp acquired a new position in GDS worth about $4,935,000 during the fourth quarter. Additionally, JPMorgan Chase & Co. significantly raised its holdings in GDS by an impressive 7,553.4% in the third quarter, now owning 610,821 shares valued at $12,461,000 after purchasing an additional 602,840 shares.

Moreover, Y Intercept Hong Kong Ltd increased its position in GDS by 165.5% during the fourth quarter and now holds 54,127 shares worth $1,286,000 after acquiring 33,741 additional shares. The Healthcare of Ontario Pension Plan Trust Fund also made a substantial investment in GDS, purchasing a new stake valued at $27,212,000 in the third quarter. Lastly, the State of New Jersey Common Pension Fund D acquired a new position valued at $1,938,000.

Currently, institutional investors hold a significant 33.71% of GDS stock.

About GDS Holdings Limited

GDS Holdings Limited operates in the data center sector primarily within the People's Republic of China. The company specializes in colocation services that provide critical facilities, power, racks, and cooling, along with managed hosting services which include essential business continuity, disaster recovery, network management, data storage, system security, database, and server middleware services. Additionally, they offer managed cloud services and consulting services.

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