Vipshop Holdings Limited (NYSE:VIPS) has been upgraded by KeyBanc Capital Mkts, which now rates the stock as Overweight versus Sector Weight prior rating , according to a note issued on January 23. Analysts at The Benchmark Company, maintained the company shares at Buy on November 16 but switched target price from $12 to $10. The stock lost favor of JP Morgan analysts who expressed their lack of confidence in it using a downgrade from Overweight to Neutral on October 10. Daiwa Securities analysts came out with bearish views on August 14 when the call was made. They think the stock is now Underperform compared to to their prior call for Neutral.
Vipshop Holdings Limited (VIPS) hit an intraday high Friday at $7.39. The shares finished at $7.39, after trading as low as $7.21 earlier in the session. It dropped -0.94% in recent trade and currently has a stock-market value of $4.95B. Trading activity significantly weakened as the volume at ready counter decreased to 7,412,475 shares versus 8,388,609 in average daily trading volume over the past 20 days. So far this year, the volume has averaged about 7,621,096 shares. The stock is now 71.86% above against its bear-market low of $4.3 on October 30, 2018. It has retreated -159% since it’s 52-week high of $19.14 reached in February. Now the market price is down -53.73% on the year and up 35.35% YTD.
VIPS’s 50 day simple moving average (SMA 50) price is $6.13 and its 200-day simple moving average (SMA 200) price is $8.2. The company’s stock currently has a total float of 492.32M shares. Its weekly volatility is hovering around 3.12% and felt 4.52% volatility in price over a month. On the upside, the share price will test short term resistance at around $7.45. On a downside, the stock is likely to find some support, which begins at $7.27. The failure to get near-term support could push it to $7.15.
Wall Street’s most bullish Vipshop Holdings Limited (NYSE:VIPS) analysts are predicting the share price to blow past $10 per share during the next 12 months. The current median share price forecast by them is $6.2, suggesting that the stock could increase -16.1% in that time frame. The average price target of $6.99 calls for a nearly -5.41% increase in the stock price.
When looking at valuations, Vipshop Holdings Limited (VIPS) has a cheap P/E of 15.89x as compared to industry average of 24.27x. Moreover, it trades for 11.33 times the next 12 months of expected earnings. Also, it is trading at rather expensive levels at just over 2x price/book and 0.4x price/sales. Compared to others, Vipshop Holdings Limited is in a different league with regards to profitability, having net margins of 2.6%. To put some perspective around this, the industry’s average net margin is 4.57%. VIPS’s ROE is 13.6%, which is also considerably worse than the industry’s ROE of 23.98%. It’s also very liquid in the near term, with a current ratio of 1.1. The stock has a debt/capital of 0.45.
Shares of Vipshop Holdings Limited (VIPS) have gained 38.1% since the company’s last earnings report. Over the past 12 fiscal quarters, Vipshop Holdings Limited (NYSE:VIPS) has topped consensus earnings estimates in 2 quarters (16%), missed earnings in 6 quarters (50%), whereas at 4 occasion EPS met analyst expectations. VIPS last reported earnings on November 14, 2018 when it released Sep-18 results that exceeded expectations. The company raked in $0.75 per share, -96.93% change on the same period last year. That was better than consensus for $0.6. Revenue for the recent quarter stood at $17.83 billion, up 16% on last year and above the $17.59 billion predicted by analysts. For this quarter, Wall Street analysts forecast revenue in a range of $20.69 billion to $22.72 billion, which should be compared with $24.13 billion generated last year. EPS is seen in a range of $0.89 to $1.23, against the $1.4 reported a year ago.