On Friday, shares of Vipshop Holdings Limited (NYSE:VIPS) marked $19.40 per share versus a previous $17.65 closing price. With having a 9.92% gain, an insight into the fundamental values of Vipshop Holdings Limited, investors would also find a great ally in the technical patterns of the stock movements showed in stock charts. VIPS showed a rise of 36.91% within its YTD performance, with highs and lows between $9.08 – $24.46 during the period of 52 weeks, compared to the simple moving average of 14.34% in the period of the last 200 days.
Morgan Stanley equity researchers changed the status of Vipshop Holdings Limited (NYSE: VIPS) shares from “Equal-Weight” to a “Underweight” rating in the report published on September 28th, 2020. Other analysts, including JP Morgan, also published their reports on VIPS shares. JP Morgan repeated the rating from the previous report, marking VIPS under “Neutral” rating, in the report published on August 21st, 2020. Additionally, VIPS shares got another “Buy” rating from UBS. On May 7th, 2020, Credit Suisse Upgrade an Outperform rating and increased its price target to $18. On the other hand, Nomura Upgrade the “Buy” rating for VIPS shares, as published in the report on March 6th, 2020. Citigroup seems to be going bullish on the price of VIPS shares, based on the price prediction for VIPS. Another “Equal-Weight” rating came from Morgan Stanley.
[bold-text]Vipshop Holdings Limited (VIPS) Analysis[/bold-text]
The present dividend yield for VIPS 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 6.00%, hinting the company’s progress in the upcoming progress.
In order to gain a clear insight on the performance of Vipshop Holdings Limited (VIPS) 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 20.40% 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 0.80 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 VIPS is currently recording an average of 7.57M in volumes. The volatility of the stock on monthly basis is set at 5.05%, while the weekly volatility levels are marked at 8.91%with 24.36% of gain in the last seven days. Additionally, long-term investors are predicting the target price of $21.49, indicating growth from the present price of $19.40, which can represent yet another valuable research and analysis points that can help you decide whether to invest in VIPS or pass.
[bold-text]What to Look for When Analyzing Vipshop Holdings Limited Shares?[/bold-text]
Vipshop Holdings Limited (VIPS) is based in the China and it represents one of the well-known company operating with Consumer Cyclical sector. If you wish to compare VIPS shares with other companies under Electronic Equipment and Consumer Goods, a factor to note is the P/E value of 19.56 for Vipshop Holdings Limited, while the value 12.97 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 0.99 is supported by the yearly EPS growth of 94.20%.
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 8.40%, 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 60.00% 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 VIPS Shares?[/bold-text]
It appears that more than several institutional investors and hedge funds decided to increase stakes in VIPS in the recent period. That is how Shanghai Greenwoods Asset Managem now has an increase position in VIPS by 39.35% in the first quarter, owning 7.92 million shares of VIPS stocks, with the value of $123.89 million after the purchase of an additional 2,236,994 shares during the last quarter. In the meanwhile, Canada Pension Plan Investment Bo also increased their stake in VIPS shares changed 1,049.07% in the first quarter, which means that the company now owns 7.3 million shares of company, all valued at $114.14 million after the acquisition of additional 6,662,800 shares during the last quarter.
At the present, 60.00% of VIPS shares are in the ownership of institutional investors.