GDS (NASDAQ:GDS) Sets New 12-Month High – What’s Next?

GDS Holdings Limited (NASDAQ:GDS) reached a new 52-week high on Tuesday . The company traded as high as $24.40 and last traded at $23.90, with a volume of 643942 shares changing hands. The stock had previously closed at $22.21.

Wall Street Analysts Forecast Growth

A number of equities analysts have recently issued reports on the company. Royal Bank of Canada increased their target price on GDS from $14.00 to $26.00 and gave the stock an “outperform” rating in a report on Monday, October 14th. Nomura Securities upgraded GDS to a “strong-buy” rating in a research note on Monday, August 26th. Finally, Bank of America boosted their target price on shares of GDS from $12.40 to $22.40 and gave the company a “buy” rating in a research note on Tuesday, August 27th. One investment analyst has rated the stock with a sell rating, one has assigned a hold rating, three have issued a buy rating and one has assigned a strong buy rating to the company. According to data from MarketBeat, the stock has a consensus rating of “Moderate Buy” and an average target price of $18.29.

GDS Price Performance

The stock has a fifty day moving average of $18.23 and a two-hundred day moving average of $12.35. The stock has a market capitalization of $4.39 billion, a price-to-earnings ratio of -7.55 and a beta of 0.24. The company has a current ratio of 1.39, a quick ratio of 1.39 and a debt-to-equity ratio of 2.30.

GDS (NASDAQ:GDS) last announced its earnings results on Wednesday, August 21st. The company reported ($0.18) earnings per share for the quarter, topping analysts’ consensus estimates of ($0.25) by $0.07. GDS had a negative net margin of 39.96% and a negative return on equity of 9.10%. The company had revenue of $388.92 million during the quarter, compared to the consensus estimate of $384.14 million. As a group, equities research analysts forecast that GDS Holdings Limited will post -1.14 earnings per share for the current year.

Institutional Inflows and Outflows

A number of large investors have recently added to or reduced their stakes in GDS. BNP Paribas Financial Markets lifted its stake in shares of GDS by 51.0% in the 1st quarter. BNP Paribas Financial Markets now owns 185,137 shares of the company’s stock valued at $1,231,000 after purchasing an additional 62,521 shares during the period. Swedbank AB acquired a new position in shares of GDS during the 1st quarter worth about $2,174,000. Wellington Management Group LLP increased its stake in shares of GDS by 258.1% in the 4th quarter. Wellington Management Group LLP now owns 608,625 shares of the company’s stock valued at $5,551,000 after acquiring an additional 438,661 shares during the last quarter. SG Americas Securities LLC acquired a new position in GDS during the first quarter valued at approximately $429,000. Finally, Janney Montgomery Scott LLC increased its stake in GDS by 55.3% in the first quarter. Janney Montgomery Scott LLC now owns 144,449 shares of the company’s stock valued at $961,000 after purchasing an additional 51,439 shares in the last quarter. 33.71% of the stock is currently owned by institutional investors and hedge funds.

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.