GigaCloud Technology (NASDAQ:GCT) Reaches New 52-Week Low Following Weak Earnings

GigaCloud Technology Inc. (NASDAQ:GCT)’s stock price reached a new 52-week low on Tuesday following a weaker than expected earnings announcement. The stock traded as low as $13.60 and last traded at $15.54, with a volume of 855087 shares. The stock had previously closed at $16.01.

The company reported $0.76 EPS for the quarter, missing analysts’ consensus estimates of $0.90 by ($0.14). The business had revenue of $295.78 million during the quarter, compared to analyst estimates of $290.00 million. GigaCloud Technology had a net margin of 11.75% and a return on equity of 40.32%. During the same quarter in the prior year, the company posted $0.87 earnings per share.

Analyst Ratings Changes

Separately, Roth Mkm lowered GigaCloud Technology from a “buy” rating to a “neutral” rating and cut their target price for the company from $32.00 to $15.00 in a research report on Tuesday.

Insider Activity

In other GigaCloud Technology news, CTO Xin Wan sold 80,000 shares of the firm’s stock in a transaction that occurred on Friday, December 6th. The shares were sold at an average price of $22.14, for a total transaction of $1,771,200.00. Following the sale, the chief technology officer now owns 867,540 shares of the company’s stock, valued at approximately $19,207,335.60. This trade represents a 8.44 % decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through this link. Also, major shareholder Frank Hurst Lin sold 2,663,076 shares of the company’s stock in a transaction on Friday, December 6th. The shares were sold at an average price of $21.80, for a total transaction of $58,055,056.80. Following the completion of the transaction, the insider now owns 1,406,813 shares of the company’s stock, valued at approximately $30,668,523.40. The trade was a 65.43 % decrease in their position. The disclosure for this sale can be found here. Over the last quarter, insiders sold 2,811,979 shares of company stock valued at $61,233,745. 43.00% of the stock is currently owned by company insiders.

Hedge Funds Weigh In On GigaCloud Technology

A number of hedge funds have recently modified their holdings of the business. Creative Planning acquired a new stake in GigaCloud Technology in the third quarter valued at about $207,000. International Assets Investment Management LLC acquired a new stake in shares of GigaCloud Technology in the 3rd quarter valued at approximately $1,083,000. New York State Teachers Retirement System acquired a new stake in shares of GigaCloud Technology in the 3rd quarter valued at approximately $49,000. Principal Financial Group Inc. purchased a new stake in shares of GigaCloud Technology in the third quarter valued at approximately $1,442,000. Finally, Aptus Capital Advisors LLC grew its holdings in GigaCloud Technology by 17.2% during the third quarter. Aptus Capital Advisors LLC now owns 102,580 shares of the company’s stock worth $2,357,000 after acquiring an additional 15,028 shares during the period. 34.94% of the stock is currently owned by hedge funds and other institutional investors.

GigaCloud Technology Stock Down 2.9 %

The stock has a fifty day moving average of $19.52 and a two-hundred day moving average of $21.32. The stock has a market cap of $636.83 million, a price-to-earnings ratio of 5.11 and a beta of 1.94.

About GigaCloud Technology

GigaCloud Technology Inc provides end-to-end B2B ecommerce solutions for large parcel merchandise in the United States and internationally. The company offers GigaCloud Marketplace integrates product discovery to payments to logistics tools into one easy-to-use platform. Its marketplace connects manufacturers primarily in Asia with resellers in the United States, Asia, and Europe to execute cross-border transactions across furniture, home appliance, fitness equipment, and other large parcel categories.