A share of Dada Nexus Limited (NASDAQ:DADA) closed at $4.28 per share on Monday, down from $4.33 day before. While Dada Nexus Limited has underperformed by -1.15%, investors are advised to look at stock chart patterns for technical insight. Within its last year performance, DADA fell by -24.11%, with highs and lows ranging from $15.59 to $2.98, whereas the simple moving average fell by -43.11% in the last 200 days.
On July 24, 2023, Daiwa Securities started tracking Dada Nexus Limited (NASDAQ: DADA) recommending Buy.
Analysis of Dada Nexus Limited (DADA)
Further, the quarter-over-quarter increase in sales is 23.20%, showing a positive trend in the upcoming months.
Dada Nexus Limited’s future performance can be predicted by a variety of well-rounded types of analysis and research, with equity being one of the most crucial ones. The goal here is to ensure that your current return on equity of -19.10% is sufficient for you to turn a profit off your investment. Taking into account the quick ratio of the company, currently set at 3.80, you can see that the company can cover any debts it may have, which can easily be seen in the annual report of the company.
For any stock, average volume can be an extremely valuable indicator of volatility, and DADA is registering an average volume of 1.28M. On a monthly basis, the volatility of the stock is set at 5.41%, whereas on a weekly basis, it is put at 3.38%, with a loss of -7.16% over the past seven days. Furthermore, long-term investors anticipate a median target price of $10.59, showing growth from the present price of $4.28, which can serve as yet another indication of whether DADA is worth investing in or should be passed over.
How Do You Analyze Dada Nexus Limited Shares?
Besides checking the fundamentals, you should also know how many employees own shares in the company. This is because the values should be in line with investors’ expectations. As such, the current holdings of company stock inside the company are set at 3.10%. This can enable you to see the extent to which executives own the company’s stock. As opposed to executive stock, institutional ownership accounts for 19.10% of the company’s shares, contributing to an indication of company value, since large shareholders may signify strength within the organization.
Are institutional investors increasing their holdings in DADA shares?
The recent increase in stakes in DADA appears to be a result of several institutional investors and hedge funds increasing their positions. Kaizen Capital Partners Ltd.’s position in DADA has increased by 57.56% in the first quarter. The company now owns 11,493,198 shares of the stock, with a value of $62.06 million, following the purchase of 4,198,496 additional shares during the last quarter. Baillie Gifford & Co. made another increased to its shares in DADA during the first quarter, upping its stake by 4.44%. During the last quarter, the company dropped down 314,871 additional shares for a total stake of worth $40.04 million, bringing number of shares owned by the company to 7,414,011.
At the end of the first quarter, Tekne Capital Management LLC increased its DADA holdings by 503.44% and now holds 4.56 million DADA shares valued at $24.63 million with the added 3.8 million shares during the period. DADA shares are owned by institutional investors to the tune of 19.10% at present.