On Thursday, shares of The9 Limited (NASDAQ:NCTY) marked $0.28 per share versus a previous $0.32 closing price. With having a -11.95% loss, an insight into the fundamental values of The9 Limited, investors would also find a great ally in the technical patterns of the stock movements showed in stock charts. NCTY showed a fall of -69.30% within its YTD performance, with highs and lows between $0.30 – $1.34 during the period of 52 weeks, compared to the simple moving average of -58.56% in the period of the last 200 days.
JP Morgan equity researchers changed the status of The9 Limited (NASDAQ: NCTY) shares from “Overweight” to a “Neutral” rating in the report published on November 13th, 2009. Other analysts, including Oppenheimer, also published their reports on NCTY shares. Oppenheimer repeated the rating from the previous report, marking NCTY under “Perform” rating, in the report published on June 18th, 2009. Additionally, NCTY shares got another “Hold” rating from Roth Capital, setting a target price of $11 on the company’s shares, according to the report published in April 16th, 2009. On January 27th, 2009, ThinkEquity Reiterated an Buy rating and increased its price target from $16 to $20. On the other hand, Sterne Agee Initiated the “Hold” rating for NCTY shares, as published in the report on January 27th, 2009. Deutsche Securities seems to be going bullish on the price of NCTY shares, based on the price prediction for NCTY. Another “Hold” rating came from Brean Murray.
[bold-text]The9 Limited (NCTY) Analysis[/bold-text]
The present dividend yield for NCTY owners is set at 0, marking the return investors will get regardless of the company’s performance in the upcoming period. In addition, the growth of sales from quarter to quarter is recording -98.70%, hinting the company’s progress in the upcoming progress.
In order to gain a clear insight on the performance of The9 Limited (NCTY) as it may occur in the future, there are more than several well-rounded types of analysis and research techniques, while equity is most certainly one of the more important indicators into the company’s growth and performance. In this case, you want to make sure that the return on the present equity of 26.60% is enough for you to make a profit out of your investment. You may also count in the quick ratio of the company, currently set at 0.10 so you would make sure that the company is able to cover the debts it may have, which can be easily seen in annual reports of the company.
Set to affect the volatility of a given stock, the average volume can also be a valuable indicator, while NCTY is currently recording an average of 3.15M in volumes. The volatility of the stock on monthly basis is set at 16.09%, while the weekly volatility levels are marked at 8.58%with -13.82% of loss in the last seven days.
[bold-text]What to Look for When Analyzing The9 Limited Shares?[/bold-text]
The9 Limited (NCTY) is based in the China and it represents one of the well-known company operating with Communication Services sector. If you wish to compare NCTY shares with other companies under Electronic Equipment and Consumer Goods, a factor to note is the P/E value of for The9 Limited, while the value can represent an indicator in the future growth of the company in terms of investor’s expectations. The later value should have a steady growth rate, increasing and growing gradually, which serves the purpose of reliably showcasing the progress of the company. The value -0.71 is supported by the yearly EPS growth of 56.90%.
Besides from looking into the fundamentals, you should also note the number of people inside the company owning the shares, as the values should be in line with the expectations of investors. In that spirit, the present ownership of stocks inside the company is set at 45.10%, which can provide you with an insight of how involved executives are in owning shares of the company. In oppose to the executives’ share, the institutional ownership counts 0.60% of shares, carrying an equal significance as an indicator of value, as the presence of large investors may signal a strong company.
[bold-text]Are Institutional Investors Increasing Stakes in NCTY Shares?[/bold-text]
It appears that more than several institutional investors and hedge funds decided to increase stakes in NCTY in the recent period. That is how UBS Securities LLC now has an increase position in NCTY by 1,653.77% in the first quarter, owning 161312 shares of NCTY stocks, with the value of $51136 after the purchase of an additional 152,114 shares during the last quarter. In the meanwhile, HRT Financial LLC also increased their stake in NCTY shares changed — in the first quarter, which means that the company now owns 114635 shares of company, all valued at $36339 after the acquisition of additional 114,635 shares during the last quarter.
Jane Street Capital LLC acquired a new position in The9 Limited during the first quarter, with the value of $30056, and Citadel Advisors LLC increased their stake in the company’s shares by — in the first quarter, now owning 38,614 shares valued at $12241 after the acquisition of the additional 38614 shares during the last quarter. In the end, Two Sigma Securities LLC increased their position by 0.00% during the first quarter, now owning 36848 NCTY shares, now holding the value of $11681 in NCTY with the purchase of the additional 36,848 shares during the period of the last quarter. At the present, 0.60% of NCTY shares are in the ownership of institutional investors.