GDS (NASDAQ:GDS) Issues Earnings Results

GDS (NASDAQ:GDS) posted its earnings results on Wednesday. The company reported $0.45 earnings per share for the quarter, topping the consensus estimate of ($0.06) by $0.51, Zacks reports. GDS had a net margin of 40.83% and a return on equity of 1.40%. The business had revenue of $405.28 million for the quarter, compared to analyst estimates of $402.81 million. During the same quarter in the prior year, the firm earned ($0.14) EPS. The firm’s quarterly revenue was up 10.2% compared to the same quarter last year. GDS updated its FY 2025 guidance to EPS.

GDS Stock Performance

Shares of GDS traded up $1.81 during trading hours on Thursday, hitting $31.56. The stock had a trading volume of 319,895 shares, compared to its average volume of 2,693,870. The firm has a market capitalization of $6.01 billion, a PE ratio of 9.37 and a beta of 0.37. The company has a debt-to-equity ratio of 1.71, a current ratio of 2.00 and a quick ratio of 2.00. The stock has a fifty day moving average price of $35.86 and a 200 day moving average price of $32.80. GDS has a 12 month low of $16.92 and a 12 month high of $52.50.

Analyst Ratings Changes

Several research firms have recently commented on GDS. Zacks Research cut GDS from a “strong-buy” rating to a “hold” rating in a research note on Tuesday, August 26th. Weiss Ratings reissued a “hold (c-)” rating on shares of GDS in a report on Wednesday, October 8th. Bank of America lifted their price target on GDS from $47.60 to $50.60 and gave the company a “buy” rating in a research note on Friday, August 22nd. JMP Securities lifted their price objective on shares of GDS from $40.00 to $50.00 and gave the stock a “market outperform” rating in a report on Thursday, August 21st. Finally, Macquarie set a $46.70 price objective on GDS in a research note on Thursday, November 6th. Two equities research analysts have rated the stock with a Strong Buy rating, seven have assigned a Buy rating and four have given a Hold rating to the company. According to MarketBeat, GDS currently has an average rating of “Moderate Buy” and a consensus price target of $46.90.

Hedge Funds Weigh In On GDS

A number of hedge funds have recently modified their holdings of GDS. Headlands Technologies LLC raised its position in GDS by 218.2% during the 2nd quarter. Headlands Technologies LLC now owns 46,386 shares of the company’s stock valued at $1,418,000 after purchasing an additional 31,810 shares in the last quarter. BROOKFIELD Corp ON bought a new position in shares of GDS in the 2nd quarter worth $157,000. Boothbay Fund Management LLC acquired a new position in shares of GDS during the second quarter worth $846,000. Bank of America Corp DE lifted its holdings in shares of GDS by 35.4% during the 2nd quarter. Bank of America Corp DE now owns 230,573 shares of the company’s stock valued at $7,049,000 after purchasing an additional 60,332 shares during the last quarter. Finally, Lighthouse Investment Partners LLC purchased a new position in GDS during the 2nd quarter worth $3,821,000. 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.